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SAN FRANCISCO 
AIRPORTS COMMISSION 




MINUTES 



DEP" 

MAY 2 4 1984 

SAN FRAiMv-.o'JO 
aPY 



Wednesday, January 18, 1984 



DIANNE FEINSTEIN, MAYOR 

COMMISSIONERS 

MORRIS BERNSTEIN 

President 

WILLIAM K. COBLENTZ 

Vice-President 

RUTH S. KADISH 

DR. Z.L. GOOSBY 

J. EDWARD FLEISHELL 



LOUIS A.TURPIN 

Director of Airports 



San Francisco International Airport 
San Francisco, California 94128 



Index 
of the 
Minutes 
Airports Commission 



DOCUMENTS DEPT 
SAN FRANCISCO 
PUBLIC LIBRARY. 



January 18, 1984 
Special Meeting 



Calendar 


Agenda 




Section 


Item 


Title 


A 




CALL TO ORDER 


B 




ROLL CALL 


C 




ANNOUNCEMENT BY SECRETARY 


D 




DIRECTOR'S REPORTS: 



1 Status Report on Planning for Special 
Events in 1984-85 

2 Increase in Rental Rates for Permitted 
Cargo Space 

3 Seating in International Terminal 
Domestic Baggage Claim Area - 
Verbal Report 

4 Report Outlining Lease Specifications - 
Limousine Service 

5 Principal Concession North Terminal "Hub" 

6 Revised Airports Commission Rules and 
Regulations 

ITEMS INITIATED BY COMMISSIONERS 

AGENDA ITEMS INVOLVING MAJOR POLICY OR 
OPERATIONAL DECISIONS: 

7 Luggage Carts in Customs Area 

8 Policy Statement on Commercial 
Advertising 

9 $23,250 Supplemental Appropriation for 
Special Events in July, 1984 

10 $8,242,807 Supplemental Appropriation for 
Capital Projects 

11 Airport Informational Brochure 

12 Amendment to Airports Commission Rules 
of Order 

CONSENT CALENDAR OF ROUTINE ADMINISTRATIVE 
MATTERS: 

13 Award of Contract No. 1449 - 
Replacement of Cable 12TA-6 
$25,000.00 



Resolution 

Number Page 

3 

3 

3 



4-5 



5-6 

6-7 
7-9 

9 
9-10 

84-0001 10-12 

84-0002 12-13 

13-14 

84-0003 14 
84-0004 14-15 



84-0005 



15 



84-0006 



15-16 



Minutes, January 18, 1984, Page 1 



Agenda 
Item 



Resolution 
Title Number Page 



84-0008 


16 


84-0009 


16-17 


84-0010 


17 



14 Statistical Adjustments for 1983-84 
Joint Use Billings Under New Lease 

and Use Agreement 84-0007 16 

15 Approval of Fund Transfer to the 
San Francisco Fire Department 

16 1985 Super Bowl Task Force 

17 Travel /Training for Fiscal Year 1983-84 
H PUBLIC HEARING: 

18 Public Hearing Concerning Proposed Airports 

Conmission Budget 17-18 

I COMMUNICATIONS 18 

J TRAILING CALENDAR 18 

K CLOSED SESSION 4 

L ADJOUNRMENT TO GO INTO CLOSED SESSION 18 



Minutes, January 18, 1984, Page 2 



AIRPORTS COMMISSION 

MINUTES 

WEDNESDAY, JANUARY 18, 1984 

SPECIAL MEETING 

ORDER OF BUSINESS 



A. CALL TO ORDER: 

The special meeting of the Airports Commission was called to order at 2:00 
P.M. on Wednesday, January 18, 1984 in Room 2B, City Hall, San Francisco, 
California. 



B. ROLL CALL: 
Present: 



Commissioners Morris Bernstein, 
William K. Coblentz, Ruth S. Kadish, 
Z.L. Goosby, J. Edward Fleishell 



C. ANNOUNCEMENT BY SECRETARY: 



In accordance with the Brown Act, 
Section 54957.1, Jean Caramatti, 
Commission Secretary, announced the 
unanimous adoption of resolution 
83-0345 agreeing to defray the costs 
of accounting services deemed 
necessary by the City Attorney in an 
amount not to exceed $25,000 for the 
preparation and trial of the City and 
County of San Francisco v. SFO 
Airporter, at the closed session of 
December 20, 1983. 



Minutes, January 18, 1984, Page 3 



K. CLOSED SECTION: 

The meeting was adjourned at 2:03 P.M. to go into closed session and was 
reconvened at 2:35 P.M. 



DIRECTOR'S REPORTS: 

1. Status Report on Planning for Special Events in 1984-85 

Informational report regarding 
planning activities by Airport staff 
in anticipation of the Democratic 
Convention and several other special 
events occurring in 1984-85. 

Mr. Lou Turpen, Airport Director, said that there will be a number of 
special events occurring in 1984-85 commencing in July. As mentioned 
in his January 10 memo to the Commission chief among those events are 
the Democratic Convention, the Lion's Club Convention and the Ail-Star 
Game, all in July. He also mentioned that the Olympic trials will be 
held in Stanford in July and the Super Bowl will be in January, 1985. 
He estimated that Airport traffic would increase by about 2-1/2 
percent, or about 600,000 passengers due to these events. 

Mr. Turpen said that staff has outlined some of the aspects of the 
special events planning. He explained that all of the costs 
anticipated for the special events were put into a programmatic 
line-item budget thus giving the Commission a true picture of the 
expenditures. As mentioned in his memo he explained that the 
anticipated expenditures outlined tended to be a bit on the 
conservative side. Mr. Turpen said he will come back to the 
Commission with a refinement of the figures as planning proceeds and 
then asked the Commissioners for their input. 

Commissioner Coblentz said that what was being proposed made a great 
deal of sense but he felt that spending $100,000 on a hospitality room 
was inappropriate. 

Mr. Turpen said he would reexamine the proposal. 

Commissioner Fleishell said that he has attended several conventions 
and that most delegates arrive on chartered aircraft and private 
planes and immediately leave the Airport on chartered buses and 
limousines for their hotels. He said airports never play a major role. 

Commissioner Fleishell suggested that staff call Chicago and Miami to 
find out how they handled these conventions. 

Commissioner Kadish agreed with Commissioners Coblentz and Fleishell. 
She said that there was no documentation as to the actual need for 
some of the items listed and that the approximation of costs should be 
broken down before the Commission takes action. She said that the 
Commission does not know whether the request for additional personnel 
in the garage was an in-house estimate or a concessionaire's 
estimate. As for the North Terminal conference room, she felt that 
replacement and repair work could be done after the convention. 



Minutes, January 18, 1984, Page 4 



Regarding the nursery being turned into a media area, she suggested 
that there be some consideration as to whether the nursery currently 
serves any function and whether there should be a permanent change. 
Figures have never been received as to how much the nursery is used. 
Commissioner Kadish reminded Mr. Turpen that should the nursery be 
eliminated that it not be included in the brochure as an Airport 
facility. 

Commissioner Kadish said that staff has to refine this information and 
come back to the Commission with more detail and that any final 
decision should be delayed. 

Commissioner Goosby felt that staff should be a little more frugal. 

Commissioner Bernstein also felt that more detail was necessary. 

Mr. Turpen asked if the Commission wanted to treat this as a normal 
influx of traffic. 

Commissioner Coblentz responded that it won't just be a normal influx 
of traffic and felt that additional personnel overtime would be needed 
but he felt that enhancing parts of the Airport was unnecessary. 

Commissioner Goosby said the police were asking for additional 
vehicles and didn't feel they should be purchased just for the 
convention. 

Mr. Turpen said that when the budget was being put together there was 
some discussion regarding the replacement of those vehicles. At that 
time he asked the Police Department if they could live with those 
vehicles one more year as a cost reduction measure. The Police 
Department said no; that they were well beyond the criteria for 
maintenance and mileage. It was staff's thinking that if we were 
going to schedule replacement for the coming year why not accelerate 
that by a month or so and get them this year. Mr. Turpen said that it 
does not have to be done that way but felt that since the City and 
County of San Francisco is hosting the convention it might be 
appropriate to put forth a slightly different effort. 

Commissioner Kadish commented that she agreed with Commissioner Goosby 
and said that we either need those vehicles or we don't. 



2. Increase in Rental Rates for Permitted Cargo Space 

Report recommending new rate schedule 
for cargo handling space rented to 
airlines under permits. 

Commissioner Kadish asked why the item included a resolution since 
this was a Director's Report. 

Mr. Turpen responded that the resolution should have been marked 
"draft". He said that this item was simply the first notice and there 
will be a public hearing on cargo rate increases. 



3. Seating in International Terminal Domestic Baggage Claim Area - Verbal 
Report 



Minutes, January 18, 1984, Page 5 



Mr. Turpen asked Jason Yuen to brief the Commission. 

Mr. Yuen, Administrator, Bureau of Planning and Construction, said 
that there are several locations where benches could be placed (Mr. 
Yuen indicated those areas on a chart) . He said he received only one 
bid for the contract and would like to have more time so it can be 
re-bid. 



4. Report Outlining Lease Specifications - Limousine Service 

Report outlining lease specifications 
for the lease for Exclusive Limousine 
Operations. 

Commissioner Bernstein said that the Commission would be happy to hear 
comments from the audience but that no decision would be made today. 

Mr. Turpen said that the report outlines the bid specifications for 
the limousine operation. He explained that the proposal was for an 
exclusive limousine operation serving the Bay Area. He said that the 
criteria for the bid is outlined on page 2 of his memo to the 
Commission and that staff is available to answer questions. He 
pointed out that in anticipation of some of the special events in July 
he outlined a schedule that would be realistic in order to conduct the 
bidding for a limousine operation at the Airport prior to that date. 
If the Commission wants to take more time to deliberate this item then 
he suggested putting off the bidding until after July. 

Mr. Al Arnaud, representative for Associated Limousines of San 
Francisco, said he wanted to address the time-frame just mentioned. 
He said he has discussed this at length with Associated Limousine 
operators and found that it is not feasible for them to adequately 
prepare and put into operation the type of service that is 
contemplated in the proposal. He said it would be necessary for 
Associated Limousine operators to negotiate with other limousine 
operators and hopefully enter into a joint venture in order to comply 
with requirements. He said it would also be necessary to go to the 
State Public Utilities Commission to ensure that their permits are in 
order and that the permits allow service to all the areas contemplated 
in the proposal. He said that at the present time different limousine 
companies have different areas of responsibility and that many of the 
permits they have are limited to those areas. He said that this is 
not an impossible task but it is just not feasible in the time-frame 
allowed. He also said that in order to do an efficient job of what is 
proposed a certain amount of time will be needed to train individuals, 
to hire new people, and, there will be a new administration of the 
actual servicing of limousines at the Airport. He repeated that to do 
all this in the given time-frame was not feasible. 

Commissioner Goosby commented that there is a provision in the bid 
specifications that gives the Airport responsibility for handling 
requests for pick-ups by other limousine services to the company that 
wins the bid. He was not questioning the ethics of people in the 
business but was not sure how fairly those requests would be handled. 
He felt that this was the Airport's responsibility. 

Commissioner Goosby asked how much a limousine ride into the City was 
per person. 

Mr. Turpen responded that it was around $30.00. 



Minutes, January 18, 1984, Page 6 



Commissioner Goosby said that the bid specifications say that in a 
"share-the-ride circumstance no more than two stops shall be 
permitted prior to the last passenger arriving at his/her 
destination" . He asked why not three stops instead of two, and, would 
the cost would go down with three stops. 

Mr. Turpen said he would look into it but thought the limit to two 
stops was for the convenience of the passengers. 

Commissioner Kadish said there was no requirement in the 
specifications as to the frequency of service or fair cost of 
service. She also said that there was a list of things that the 
concessionaire cannot do but that there were no penalties listed. 
Finally, inasmuch as the improvements must originally go through the 
Design Review procedure she felt that when any changes or extensions 
are made that they too should go through the same Design Review 
procedure. 

Commissioner Coblentz asked why the Airport's affirmative action goal 
was raised to 40 percent when 25 percent has been used in the past. 

Ms. Angela Gittens, Deputy Director for Business and Finance, 
responded that it was felt that since in this case there were more 
minorities involved in the industry a 40 percent goal could be reached. 

Commissioner Coblentz said he did not see any reason why the goal 
should be changed; he would vote against it. 



5. Principal Concession North Terminal "Hub" 

Report proposing the conceptual 
approval of the development of a North 
Terminal "Hub" into a Principal 
Concession Lease and the inclusion of 
the assignment of the existing North 
Terminal Jewelry Shop Lease to the 
successful bidder. 

Mr. Turpen said this item was being reintroduced at the Commission's 
request and presented as an introductory item rather than an item for 
adoption. He explained that the purpose was to solicit the 
Commission's ideas so that staff can reformulate the item and make it 
consistent with the Commission's thinking. 

Commissioner Bernstein asked under what terms was the jewelry shop 
lease being cancelled. 

Mr. Turpen said the lease was not being cancelled it was being 
assigned to the successful bidder of the principal concession. 

Angela Gittens, Deputy Director of Business and Finance, said that the 
successful bidder of the principal concession would accept assignment 
of the jewelry lease. 

Commissioner Bernstein asked what happens to the present lease. He 
felt that in effect it was a cancellation of the lease. 

Ms. Gittens said it would be a cancellation to the present owner. 

Commissioner Bernstein said that a lack of business judgment on the 
part of the leasee was no reason to disregard a penalty. 



Minutes, January 18, 1984, Page 7 



Ms. Gittens responded that the rationale was that it was in the 
Airport's interest to accept the assignment so that the Airport could 
use the space that is occupied by the current lease. She said that 
this was advantageous to both sides. She said that the last time this 
item came up before the Commission they expressed a desire to discuss 
potential penalities for sanctions. 

Commissioner Bernstein repeated that if there is a cancellation of a 
lease because of bad business judgment he does not want the Airport 
penalized. He said that everyone should be treated alike. 

Ms. Gittens responded that this space will benefit the Airport. 

Commissioner Bernstein said that we want the space, we're cancelling 
the lease for our benefit and we are not paying them anything. 

Commissioner Goosby asked if they were giving up both locations. 

Ms. Gittens responded that the Airport would retain the location on 
the main concourse and take the cable car and move the jewelry into 
the main area of the Hub. 

Commissioner Goosby said that they would then have the location out at 
the Hub as well as the present location out on the main concourse. 

Commissioner Bernstein asked if this was initiated by staff or by the 
leasee. 

Ms. Gittens responded that initially the leasee approached staff. She 
explained that staff had not accepted this until it was clear that it 
was to the Airport's benefit. 

Commissioner Goosby said it could be acceptable but they should still 
pay a penalty. 

Commissioner Kadish said she has the same problems with this 
presentation that she had with the one on November 1st. She said that 
none of the points that were raised by either Commissioner Bernstein 
or herself were responded to in this presentation. She referred to 
the minutes of November 1st which lists specific requests and she 
asked that they be responded to so that the item can be discussed 
intelligently. She said the Commission has not been presented with 
schematic drawings of the space allocations; they have not been given 
any information as to how these particular concessions had been 
decided upon nor had they received the justifications for the 
selections. She said that Dr. Goosby had asked for a breakdown of why 
the full amount of space was not being used. Commissioner Bernstein 
asked for information on the sales volume of other concessionaires in 
that area. She said it is important that the Airport not open up 
concessions that are doomed to failure and the Commission needs this 
kind of information in order to assure success. She said that the 
Commission does not want the kind of problems that the jewelry shop 
had nor do they want the kinds of problems that exist in other areas. 
Commissioner Kadish said that since that time she has gone through 
various parts of the Airport to look at the concessions and has seen 
that many of them are not as successful as the Commission had thought 
they would be, nor are they fulfilling the specifications that they 
were supposed to fulfill. She said that these are things that should 
be taken care of in an initial presentation. 

Commissioner Goosby said that the point made about the rationale for 
the selection was a valid one. He wanted to know what the basis was 
for the decision to have an American Dry Goods Shop and Art Poster 
Shop. He had also wanted to know about the Museum proposal and 



Minutes, January 18, 1984, Page 8 



whether or not the Museum could be a bidder. He said there had been a 
discussion about a meat, sausauge, french bread concession or frozen 
crab concession. He said the Commission would like staff's 
arguments. Commissioner Goosby also wanted to know why all the space 
was not being used. There is 5,854 square feet available and only 
2,250 square feet will be used. He assumed that some of the space was 
going to be used for storage. He asked if it was feasible to limit 
the bidder to 50 percent of the space and put the other 50 percent out 
to bid to local business people. He said that he wished he had 
thought of this when the International Terminal was being bid. He 
asked that staff address this possibility. 

Commissioner Bernstein commented that the minutes of November 1st, 
page 10, state that 25 percent of the retail space was turned over to 
the affirmative action policy yet it does only 10 percent of the 
volume. He asked if that statement was correct. 

Ms. Gittens responded that that is the current experience of the 
International Terminal principal concession operation. 

Ms. Gittens remarked, in response to Commissioner Radish's comments, 
that for a variety of reasons there was a delay in getting this back 
to the Commission but that staff sent a response to several of the 
concerns under separate cover. 

Commissioner Kadish said none of the concerns were covered. 

Ms. Gittens responded that staff did not go into the rationale for 
each concession but the question of the museum was covered. 

Commissioner Goosby said he never saw that response. 



6. Revised Airports Commission Rules and Regulations 

Mr. Turpen said that an early draft of the Airport Rules and 
Regulations was sent to the Commission on December 20. He said that 
unless the Commission has any objections a public hearing will be held 
on February 7 and will appear again on the February 21 calendar for 
approval. 

Commissioner Fleishell suggested that in the future when changes are 
made that those changes be underlined. 



E. ITEMS INITIATED BY COMMISSIONERS: 

Commissioner Kadish said that the monthly reports supplied by the Bureau 
of Planning and Construction and the quarterly report on the valet 
operation are most helpful. She felt that it would be valuable to receive 
monthly reports from other departments at the Airport to keep the 
Commission up to date: Property Management, indicating how prices and 
various concessions were being monitored; Community Affairs; and 
Maintenance. She said that when she was at the Airport on Saturday she 
noticed that the vinyl on the wall on the lower level of the International 



Minutes, January 18, 1984, Page 9 



Terminal had been badly scarred and chipped, particularly at corners. She 
suggested that the Airport might have to place metal corners on the walls, 
much like those used in hospitals. She felt that this is the sort of 
thing that could be addressed by the Maintenance Division. 



Commissioner Bernstein asked if the signs in the International Terminal 
arrivals area are only in English and, if so, shouldn't they also be in 
other languages. 

Mr. Turpen responded that this subject came up about a year ago and at 
that time Sheldon Fein had indicated that the Airport was pursuing 
international signing. He said that this type of signing was eventually 
used and was coordinated with the architect. 



F. AGENDA ITEMS INVOLVING MAJOR POLICY OR OPERATIONAL DECISIONS: 

The following item was adopted by a 4 - 1 vote with Commissioner 
Coblentz casting the dissenting vote. 

7. Luggage Carts in Customs Area 

84-0001 Resolution to direct that a system of 

free carts be developed and put in 
operation in the Customs area as soon 
as practicable. 

Mr. Turpen said that the item is self explanatory. Staff has done an 
extensive analysis of the operation and how to make the transfer. 

Commissioner Bernstein asked Mr. Paul Van Wert if he wished to speak. 

Mr. Paul Van Wert, united Airlines, said that the Commission has 
received copies of the telegram sent on December 16, as well as the 
letter from the Foreign Flag Carriers opposing the concept of 
converting to free luggage carts in the FIS area. He mentioned that 
the three airports which are at least closely affiliated in one 
respect with SFO are Chicago, Los Angeles and Honolulu. Chicago, in 
1983, converted to a pay cart system in the FIS area. In Honolulu, 
one of the primary functions is the acceptance of foreign passengers 
into the United States. He explained that any aircraft that stops in 
Honolulu has to pre-clear its passengers so that the FIS in Honolulu 
is a huge facility. He said that they converted to a pay cart system 
in the FIS area and there is a great sign of relief, not only among 
the airline operators but from the State as well. 

Mr. Van Wert said that he could not think of another airport that is 
more concerned about its image than the Los Angeles Airport is with 
the coming of the Olympics, nor could he think of a facility that is 
going to have a greater strain of it than the FIS in the new West 
Terminal in Los Angeles. He said that the West Terminal will open in 
June and will be an 11-gate international terminal, having one more 
gate than SFO's International Terminal. Mr. Van Wert explained that 



Minutes, January 18, 1984, Page 10 



since Los Angeles was relocating their international function they 
wanted to reexamine the luggage cart issue and it was a major item on 
their agenda last Wednesday. 

Mr. Van Wert told the Commission that Cliff Moore, General Manager of 
the Los Angeles Airport, was in favor of converting to a free cart 
system in the FIS International Terminal. His staff, from the Deputy 
Director on down, recommended otherwise to the Commission; they wanted 
a continuatiuon of the pay cart system. The Commission in Los Angeles 
was presented with four distinct alternatives, including reaffirmation 
of their existing pay cart system, a free cart system in the FIS, pay 
carts in the rest of the airport, and, various expansions of the free 
cart system. After a very lengthy meeting the Commission voted 
unanimously to go with a pay cart system. Mr. Van Wert said that he 
knew that this is an issue that the Commission has been considering 
for a long time and in addition to the objections that are on file he 
said he would like to make available to Commission members a 
transcript of the debate held in Los Angeles last week on this 
subject. He tried to have it available for the meeting today but was 
unsuccessful in obtaining it. He asked the Commission to defer action 
on this item until they had a chance to review the extensive 
discussion on this matter held by the Los Angeles Airports Commission. 

Commissioner Bernstein said that this item has been discussed for the 
past seven or eight months. He said it was initiated because the 
Commission was told that most international airports had free carts; 
now we find that they don't. He said that he was for free carts and 
plans to vote that way. 

Commissioner Kadish suggested that the Commission defer to Mr. Van 
Wert's request and put the item over to the next meeting. 

Commissioner Coblentz said that he originally voted for free carts 
based on the information he had but is now against them for a number 
of reasons. He felt that the Airport would be breaching a contract 
with the present operator. He also said that the Airport would have a 
discriminatory problem with free carts. He explained that as a 
domestic traveler he has almost as many problems on arrival as does an 
international traveler and he doesn't get a free cart. He felt that 
the Airports Commission will get a lot of criticism as a result. 
Thirdly, he has seen what happens with free carts in New York City. 
He explained that you reach a certain stand going through Customs and 
must give up the cart. He said he has been to Dusseldorf and Munich 
where you have to pay for your carts, but in England, where you don't 
have to pay, the cost is horrendous to the airport itself. He said 
that he did not want the Airport to incur any more expense than 
necessary at the present time for something that he doesn't think will 
work, and for something that he feels breaches the sanctity of the 
contract . 

Mr. Paul Van Wert commented that although he could not attest to their 
credibility, those individuals who commented on the currency question 
in Los Angeles agreed that 99% of the people who arrive in the customs 
area have at least one American dollar in their pocket. As for the 
other issue of cost, the airlines in San Francisco also believe that 
some of the estimates by Airport staff on the cost to the airlines in 
going to a free cart system will be closer to half-a-million dollars. 

Commissioner Kadish moved that the item be put over to the next 
meeting and Commissioner Coblentz seconded the motion. 



Minutes, January 18, 1984, Page 11 



Commissioner Fleishell asked for a vote on whether or not the item 
should be put over . 

Commissioner Goosby said that the motion should include putting the 
item over in order to study the transcript that Mr. Van Wert is to 
make available. 

The motion failed on a 3 - 2 vote with Commissioners Bernstein, Goosby 
and Fleishell voting against it. 

The roll was then called for approval of the item. It was adopted by 
a 4-1 vote with Commissioner Coblentz casting the dissenting vote. 
Commissioner Coblentz asked that the minutes show the points that he 
raised. 

Commissioner Goosby suggested that the resolve include the statement 
indicating that the one year agreement ends on July 13th. 

Commissioner Fleishell said that he does not wish to breach the 
agreement. 

Mr . Turpen said that the change-over should occur on or about August 
1st unless the Commission directs otherwise, but that Commissioner 
Goosby' s statement could be added to the resolution. 

Commissioner Fleishell said that an amended motion to include the date 
is needed. 

Mr. Garibaldi recommended that the statement "as soon as practicable 
after July 13, 1984" be added to the resolve. 

Commissioner Fleishell said the vote would be the same. 



The following item was adopted by a 3-2 vote with Commissioners Goosby 
and Bernstein casting the dissenting votes. 

8. Policy Statement on Commercial Advertising 

84-0002 Resolution approving the policy 

statement for commercial advertising 
in the Terminal Building Complex and 
Public Parking Garage. 

Commissioner Goosby said that he realized that the possibility of 
First Amendment rights were involved but felt that in view of the fact 
that the Airport is loosing revenue on the luggage carts he would like 
to have an 18-month trial period for advertising in the tunnels. 
However, since the resolution does not specifically indicate that 
advertising would be limited to the tunnels he would vote no. 

Commissioner Bernstein said he was going to vote for this item. He 
said that he does not know how the Airport could talk about loosing 
money on carts and turn down several hundred thousand dollars for 
advertising. He asked if it would just be in the tunnels. 

Mr. Turpen responded that staff was asked to develop bid specs on 
advertising in the tunnels. Subsequent to that the Commission elected 
not to place any advertising in the tunnels and further instructed 



Minutes, January 18, 1984, Page 12 



staff to broaden the advertising ban and make it Airport-wide. Mr. 
Turpen said that this resolution would preclude advertising except as 
outlined in Airport terminal buildings and in the garage cores and 
tunnels. 

Commissioner Coblentz said the increase in revenue must be weighed 
against the problems that will arise with the First Amendment. He 
said that the Commission cannot in any way try to show what is good 
taste, creative or limit the type of advertising. He said that as 
much as he would like to see the increase in revenue and even though 
he agrees that there is some very creative, tasteful advertising there 
is poor advertising as well, and will therefore vote against this. 

Commissioner Fleishell said that he was originally ambivalent about 
the question of advertising, leaning a little on the side of gaining 
the additional revenue. He said that six months ago the Court of 
Appeals in Washington, D.C. overruled a decision made by the 
Washington National and Dullas Airports who have policies allowing 
advertising but stipulate that it could not be political in nature. 
A foreign government sued and insisted on the right to post their 
views at the airport. The lower court agreed with the airport but the 
Court of Appeals said that if you permit advertising at your airport 
you may not censor it; you may not dictate what statements can be 
made, and, that even a foreign country develops a First Amendment 
right to express views. He said he would go along with Commissioner 
Coblentz and does not want to get into that battle ground. 

Commissioner Bernstein said what about the free speech booth at the 
Airport. 

Commissioner Fleishell said they have to be permitted because it is a 
public building. 

Commissioner Bernstein said the advertising can be tastefully done and 
we were throwing away hundreds of thousands of dollars. 



The following item was put over. 

9. $23, 250 Supplemental Appropriation for Special Events in July, 1984. 

Supplemental Appropriation for cost 
which will be incurred in Fiscal Year 
1983/84 in preparation for the 
Democratic National Convention, the 
Ail-Star Game, and the Olympics. 

Mr. Turpen said that this was a continuation of Item 1. He said it is 
staff's intent to secure part-time help for meeters and greeters, 
etc. He said that since the Commission has instructed staff to take a 
look at the depth of commitment or service to be provided he suggested 
putting the item over. He said this item could be tied in with- Item 
No. 1 and be brought back at the same time. 

Commissioner Coblentz said that the printing of the Convention and 
Visitors Bureau brochure should be acted on now. 

Mr. Turpen said he would like to bring it all back in a single package 
to avoid confusion. 



Minutes, January 18, 1984, Page 13 



Commissioner Fleishell suggested getting retired airline stewards and 
stewardesses who know about Airports, know how to handle people and 
have already been trained. 

Mr. Turpen responded that that has been considered. 

Mr. Turpen said that about a month and a half ago he met with the 
Convention and Visitors Bureau in San Francisco and San Mateo County 
to discuss convention activities. He said that one of the things they 
wanted to do was set up booths in the arrivals area. He said that 
they are considering putting together a Key-type of magazine, listing 
various events in the area. He said he would bring this back to the 
Commission as well. 



The following items were unanimously adopted. 

10. $8,242,807 Supplemental Appropriation for Capital Projects 

No. 84-0003 Supplemental Appropriation to transfer 

the Fiscal Year 1982/83 interest 
income on captial projects funds to 
approved unfunded capital projects. 

Mr. Turpen said that this was interest from the bond issue and the 
Lease and Use Agreement required that any interest be funneled into 
the capital projects account in order to defer any future bond issue 
or reduce the amount. 

Commissioner Goosby asked if this money was taken into account when 
the capital projects were developed for this year . 

Mr. Turpen responded that it was. 



11. Airport Informational Brochure 

No. 84-0004 Requesting approval of a resolution to 

authorize Airport staff to develop an 
informational brochure for San 
Francisco International Airport 
identical to Los Angeles' . 

Mr. Turpen said that at the December 6 Commission meeting the 
Commission indicated that the Los Angeles brochure was satisfactory 
and it was the Commission's recommendation to simply take that 
brochure and substitute the appropriate San Francisco information and 
have it produced. He said that this can be done in time for this 
summer's activities. 

Commissioner Fleishell said it would be embarrassing to simply copy 
Los Angeles' brochure and hoped that there will be some originality to 
ours. 

Commissioner Kadish felt that the statement which reads that we will 
produce a brochure "idential to Los Angeles' with San Francisco 
information substituted" is an insult. She said that San Francisco 
has to have its own logo, its own color theme, its own identity. A 
model can be used as a take-off point but it shouldn't plagiarize or 
steal what some other airport paid a designer to design. Commissioner 



Minutes, January 18, 1984, Page 14 



Kadish held up two Atlanta airport brochures provided by staff and 
said that Atlanta has developed its own identity and used it on 
brochures. 

Commissioner Kadish said the Commission approved developing our 
identity, our color theme and our logo prior to the opening of the 
International Terminal, spent $40,000, and, this is what we got (she 
held up a sample). She asked why this could not be used as our logo, 
identity and color theme. She said we could use the Los Angeles 
brochure as a model but that was all. 

Mr. Turpen explained that although the memo to the Commission says 
"identical" the resolution says "similar" to the Los Angeles brochure. 

Commissioner Bernstein remarked that Commissioner Fleishell 
recommended doing this because the Commission has been requesting a 
brochure and nothing has been accomplished. He felt that this was the 
simplest way to do it. 

Commissioner Coblentz said that regardless of what the letter says the 
resolution says "a brochure similar to Los Angeles". He suggested 
waiting for the mock-up. 



12. Amendment to Airports Commission Rules of Order 

No. 84-0005 Resolution amending Section 16 of 

Airports Commission Rules of Order, 
relating to the order of business at 
Commission meetings. 

Mr . Turpen said that this item was discussed at the December 6 meeting 
and at that time the Commission indicated that they would be favorably 
disposed to this change. This item simply formalizes the change. 

Commissioner Goosby asked what policy review meant. 

Mr. Turpen responded that on February 7 the Commission will get a 
review of all meetings from October 1, 1983 through this meeting. 



CONSENT CALENDAR OF ROUTINE ADMINISTRATIVE MATTERS 

The following items were unanimously adopted. 

13. Award of Contract No. 1449 - 
Replacement of Cable 12TA-6 
$25,000.00 

No. 84-0006 Resolution awarding Contract 1449 to 

Connex Electric, Inc., 922 S. 
Clarmont, San Mateo, CA 94402, in the 
amount of $25,555.00 



Minutes, January 18, 1984, Page 15 



This contract replaces an existing 
defective 12KV power distribution 
cable 12TA-6. 

Six bids received on January 3, 1984, 
are as follows: 

Contractor Bid 

Connex Electric, Inc. $25,555.00 
Twisselman Electric, Inc. 33,995.00 
Kingston Contracting, Inc. 34,880.00 
Coast Electric Co. 35,200.00 

Delta Star Electric Co., Inc. 36,100.00 
Arc Electric Co. 45,980.00 

Construction time is 210 calendar days. 



14. Statistical Adjustments for 1983-84 Joint Use Billings Under New Lease 
and Use Agreement 

No. 84-0007 Resolution adjusting 1983-84 Joint Use 

Billings pursuant to Section lOl.w of 
the new Airline-Airport Lease and Use 
Agreement for Frontier Horizon Airline. 



15. Approval of Fund Transfer to the San Francisco Fire Department 

No. 84-0008 The transfer of $29,777 from the 

Operating Fund to the San Francisco 
Fire Department for holiday pay 
resulting from the passage of 
Proposition J in November, 1983. 

The following item was adopted by a 4-1 vote with Commissioner Kadish 
casting the dissenting vote. 

16. 1985 Super Bowl Task Force 

No. 84-0009 Resolution for one Airport staff 

member to attend the 1984 Super Bowl 
in Tampa, Florida to discuss with 
airport officials and observe the 
preparations made for Super Bowl 
activities in order to prepare San 
Francisco International Airport for 
the 1985 Super Bowl to be held in 
Stanford, California. 

Commissioner Kadish said this resolution would authorize sending an 
Airport representative to Tampa, Florida to learn how they are going 
to handle a Super Bowl crowd. She said that SFO is not the small 
airport that Tampa is and we are used to handling large crowds. She 
said SFO absorbed 600,000 more people last year than the year before 
and we did it without going somewhere else to investigate it. she 
said she did not see what Tampa had to offer that could not be handled 
over the telephone. 



Minutes, January 18, 1984, Page 16 



Commissioner Coblentz responded that if a member of the Board of 
Supervisors is going it would behoove the Airport to send a 
representative. He felt that rather than stub our toes we should 
spend the money. 

Commissioner Fleishell said that since the Super Bowl is Sunday how 
can the Board of Supervisors approve this. 

Mr. Turpen responded that this just goes to the Mayor for approval. 
If more than one Airport employee attended the Super Bowl then Board 
of Supervisors approval would also be required. 

Commissioner Bernstein asked who would be going to Tampa. 

Mr. Turpen responded that Mr. Ron Wilson was going; he is the 
Airport's liaison with the Super Bowl Committee in San Francisco. 

Commissioner Kadish said she wanted a report from him on his trip. 



The following item was unanimously adopted. 

17. Travel/Training for Fiscal Year 1983-84 

No. 84-0010 Request for authorization of 

Travel/Training for Airports 



Commission representatives, 
January-June, 1984. 



H*. PUBLIC HEARING: 

18. Public Hearing Concerning Proposed Airports Commission Budget 

Public hearing concerning proposed 
budget and resolution approving the 
budget estimate of $126,791,261 
submitted by the Director of Airports 
and directing Airports Commission 
staff to file the budget with the 
Controller's Office, in compliance 
with City budget instructions. 
Airports Commission approval will be 
requested at the February 7 meeting. 

Commission Bernstein called on Mr. Paul Van Wert to speak. 

Mr. Van Wert, United Airlines, said that last month the airlines had 
their first meeting with staff on the budget. At that meeting the 
airlines tried to offer a perspective on the budget from the point of 
view of those who negotiated the new Lease and Use Agreement. He 
handed the Commission copies of his letter to Mr. Turpen reflecting 
that perspective. He said that although there are some slight 
differences of opinion on some of these objectives he asked the 
Commission to endorse the objectives presented by staff and by the 
airlines not only for this year's budget but for ensuing budgets. He 



Minutes, January 18, 1984, Page 17 



said that at this point the major difference is the speed with which 
the objectives can be accomplished. The airlines think that staff can 
do a lot more a lot faster. The airlines encourage the Commission's 
endorsement and encourage the efforts of staff to get these objectives 
officially in the MBO's. 

Commissioner Goosby said we are projecting $370,00 more income from 
the service station than was originally planned. 

Mr. Turpen sait that was correct. 

Commissioner Kadish asked when the Commission could ask questions or 
bring points to the attention of staff. 

Mr. Turpen said a time could be set up or members of the Commission 
could call him, Angela Gittens or John Martin. 



I. COMMUNICATIONS: 

There was no discussion by the Commission, 



* * * 



J. TRAILING CALENDAR: 

There was no discussion of Trailing Calendar Items. 



ADJOURNMENT TO GO INTO CLOSED SESSION: 

There being no further calendared business before the Commission the 
meeting adjourned at 4:00 PM to go into closed session. 



Jean Caramatti 
Commission Secretary 



Minutes, January 18, 1984, Page 18 



SAN FRANCISCO 
AIRPORTS COMMISSION 




J UN 1 1 1984 

FRANCISCO 

IRRAPY 



MINUTES 



February 7, 1984 



DIANNE FEINSTEIN, MAYOR 

COMMISSIONERS 

MORRIS BERNSTEIN 

President 

WILLIAM K. COBLENTZ 

Vice-President 

RUTH S. KADISH 

DR. Z.L. GOOSBY 

J. EDWARD FLEISHELL 



LOUI8 A.TURPIN 
Director of Airports 



San Francisco International Airport 
San Francisco, California 94128 



Index 

of the 

Commission Meeting Minutes 



February 7, 1984 



Calendar Agenda 
Section Item Title 



Resolution 
Number 



Page 



CALL TO ORDER 

ROLL CALL 

ANNOUNCEMENT BY SECRETARY 

SPECIAL ITEM 

1 Commendation - Roy Samuels 
DIRECTOR'S REPORTS 

2 Metropolitan Transportation 
Commission - Rail Starts and 
Extension 

3 Prevailing Wages - Verbal Report 

4 Valet Parking 

ITEMS INITIATED BY COMMISSIONERS 
POLICY 

5 Airports Commission Budget for 
Fiscal Year 1984/85 

POLICY REVIEW 

6 Policy Review Items 

ITEMS RELATING TO ADMINISTRATION, 
OPERATIONS, AND MAINTENANCE 

7 Status Report on Planning 
for Special Events in 1984-85 

8 $23,250 Supplemental Appropriation 
for Special Events in July, 1984 

9 $62,500 Supplemental Appropriation 
to Purchase and Equip Five Airport 
Police Vehicles 



84-0013 



84-0014 



84-0016 



84-0017 



3 
3 
3 

3-4 

3 

4 

4 
4 
4 
4 
5 

5 

5-6 

5 

7-10 

7 



Minutes, February 7, 1984, Page 1 



Calendar 
Section 



Agenda 
Item 

10 



11 



12 



13 



14 



15 



Title 

Modification No. 2 and Completion 
of Airport Contract No. 614 - 
Airfield Drainage Lines at Runways 
19R & 19L and Pump Station 

Approval of budget for Professional 
Services Contract, O'Brien-Kreitzberg 
& Associates, Inc. Contract Amendment 
No. 5 - $688,000 

Award of Contract #1206 - South 
Terminal Aircraft Apron Paving, 
Phase I 

Award of Contract 1410C-1 - Tunnels 
"A" & "C" Steel Panels, to Hogan 
Manufacturing Inc., Escalon, Ca 
in the total amount of $438,000 - 
Budget for this work is $505,000 

Bid Call Contract No. 1481 - High 
Voltage Distribution - International 
and South Terminals 

Contract with Parry Company - 
$10,000.00 

CONSENT CALENDAR OF ROUTINE 
ADMINISTRATIVE MATTERS 



Resolution 
Number 



84-0018 



84-0019 



84-0020 



84-0021 



Page 



10 



84-0022 


10 


84-0023 


10 




10-11 



16 Modification of Agreement No. 17 
and Final Payment - Contract 
Proposal 68251-A Shuttle Bus 
Service 

17 Travel to AOCI Security 
Conference 

PUBLIC HEARING 

18 Increase in Rental Rates for 
Permitted Cargo Space 

COMMUNICATIONS 

TRAILING CALENDAR 

ADJOURNMENT 



84-0024 


10 


84-0025 


11 




11 




11 




11 




11 




11 



Minutes, February 7, 1984, Page 2 



Minutes 

of the 

Airports Commission 

February 7, 1984 



A. CALL TO ORDER: 

The regular meeting of the Airports Commission was called to order at 2:05 
P.M in Room 282, City Hall, San Francisco, Ca. 



B. ROLL CALL: 
Present: 

Absent: 



Commissioners Morris Bernstein, 
William K. Coblentz, Z.L. Goosby, 
J. Edward Fleishell 

Ruth S. Kadish 



ANNOUNCEMENT BY SECRETARY: 



In accordance with the Brown Act, 
Section 54957.1, Gale Woo, Acting 
Commission Secretary, announced the 
unanimous adoption of resolutions 
84-0011 and 84-0012 regarding the 
settlement of litigated claims at the 
closed session of January 18, 1984. 



D. SPECIAL ITEM: 

The following item was unanimously adopted. 

1. Commendation - Roy S. Samuels 

No. 84-0013 

Mr. Lou Turpen, Airport Director, introduced Roy Samuels and his wife 
Marjorie, and said that Mr. Samuels had been a mainstay at the Airport 
for over 13 years. He said that before coming to the Airport he was 
with the Port of New York for 22 years. Mr. Turpen commended Mr. 
Samuels for his support of the Airports Commission and the 
Administration. He said Mr. Samuels worked diligently, honestly, and 
selflessly in behalf of the Airport. Mr. Turpen said that the Airport 
would miss him professionally but as a friend as well and wished him 
the best in his retirement. 



Minutes, February 7, 1984, Page 3 



Commissioner Coblentz said that he thought that was the unanimous 
feeling of the Commission. He said he has been on the Commission ever 
since Mr. Samuels was at the Airport. He said the Commission was 
deeply grateful for his efforts. He congratulated him on his 
retirement. 



E. DIRECTOR'S REPORTS: 

2. Metropolitan Transportation Commission - Rail Starts and Extension 

A verbal Director's Report will be 
presented to the Commission on the 
status of the regional rail program 
being developed by the Metropolitan 
Transportation Commission (MTC). 

Mr. Turpen told the Commission that the BART Board approval and 
extension to the Airport is a high priority project. The San 
Francisco Board of Supervisors Committee on Transportation voted 2-1 
against such an extension and made that recommendation to the Board of 
Supervisors. Mr. Turpen said he will continue to keep the Commission 
advised. 

The following item was put over. 

3. Prevailing Wages - Verbal Report 

Mr. Turpen said that the item was placed on calendar to give the 
Commission an update. He said that there has been no change from 
earlier correspondence sent by staff. Mr. Turpen said there is a 
special meeting of a Board of Supervisors committee currently in 
progress to consider this legislation. 

4. Valet Parking 

Report covering the 3-month period 
from October to December, 1983 on 
Valet Parking Service as requested by 
the Commission. 

Mr. Turpen said that this was the quarterly report on Valet Parking. 
He explained that it continues to exceed the breakeven criteria for 
continued operation established by the Commission. 



F. ITEMS INITIATED BY COMMISSIONERS: 

Commissioner Goosby said that the Trailing Calendar listed the carpet and 
the survey on the Medical Clinic space and asked how it was coming and if a 
firm had been hired to do the survey or would it be done in-house. 

Mr. Turpen responded that based on a conversation at an earlier Commission 
Meeting the survey has been structured and staff is preparing to do the 
survey within the next few weeks. 

Mr. Turpen said that Jason Yuen is continuing to explore the concept of 
dyeing the carpet and certain trial areas are being selected. 

Mr. Jason Yuen, Administrator, Bureau of Planning and Construction, said 
that his staff is working on a contract to let three different firms try it 
out. 



Minutes, February 7, 1984, Page 4 



G. POLICY: 

The following item was unanimously adopted as amended. 

5. Airports Commission Budget for Fiscal Year 1984/85 

No. 84-0014 Resolution approving the budget 

estimate of $126,964,744 submitted by 
the Director of Airports and directing 
Airports Commission staff to file the 
budget with the Controller's Office, 
in compliance with the City budget 
instructions. 

Mr. Turpen said that the Commission has before it an amended 
resolution and would further like to amend the first resolve to read: 
"RESOLVED, That the budget estimate is hereby approved in the maximum 
amount of ....". Mr. Turpen said that staff is continuing to work 
with the airlines and has worked with the Commission to reduce the 
budget. He said that no increase in the budget is seen and in the 
coming weeks where staff can reduce and refine the budget for the 
benefit of the airlines it will be done. He said that he would 
therefore like the Commission to approve the budget in the "maximum 
amount of $126,954,744" recognizing that amount will be reduced as the 
budget is further refined. 

Mr. Turpen explained that a letter will be sent to the Commission 
outlining all Commission-initiated reductions. 

Commissioner Coblentz remembered that there were some questions on 
subscriptions. 



H. POLICY REVIEW: 

The following item was reviewed by the Commission. 

6. Policy Review Items 

Review of policies adopted by the 
Commission during the period of 
September 6, 1983 through January 
18, 1984. 

Mr. Turpen explained that the Policy Review section was the one 
discussed in amending the Commission's Rules of Order. The policies 
presently before the Commission were stated from September 6, 1983 
through January 18, 1984. He said that if the Commission is in 
agreement with the thrust of the policies, there is no change 
required. If the Commission feels that a policy is misstated or 
should be re-stated those amendments will be made. 

Mr. Turpen explained that he will come before the Commission with 
policies stated in the three or four months that preceded those 
presently being considered. He said that this was designed to get the 
policy manual off the ground. 

Commissioner Fleishell commented on the Nov. 1, 1983 policy which 
stated that "It is the policy of the Airports Commission not to 
endorse the utilization of industrial development bonds intended for 
financing of capital projects.": He said it was his recollection that 
the Commission did exactly the opposite and sent it along to the Board 
of Supervisors who turned it down. He said that the only time the 
Airport declined to use industrial development bonds were on the 
Hilton project. It has been used on other airline financing and eight 
weeks ago the Commission approved one and was turned down by the Board. 

Minutes, February 7, 1984, Page 5 



Commissioner Goosby asked if the Commission had ever approved money 
for industrial development bonds. 

Commissioner Fleishell said yes. 

Mr. Turpen responded that one was approved and the second one became a 
question of policy. 

Mr. Turpen said the policy would be refined and brought back before 
the Commission at the next meeting. 

Commissioner Goosby said that three of the policies indicate that no 
resolution was adopted. 

Mr. Turpen responded that in trying to put this together he took 
stated and implied policies which the Commission conveyed in a sense 
at a particular time. Then he tried to extract from that the 
Commission's unstated policy. 

Commissioner Goosby said that perhaps instead of saying "no resolution 
was adopted" it should read "should a policy be formulated". He said 
that he did not feel that that should be our policy and that the 
Commission should tie itself down by adopting a policy that stated "no 
industrial development bonds would be used to finance capital 
projects" . He said he did not feel that that was what the Commission 
would want. 

Commissioner Goosby said that the item on the valet service is a 
policy of the Commission and a resolution is needed so that it can be 
implemented. 

Commissioner Fleishell said that industrial development bonds was an 
important topic. He said that by law they have been expressly 
mandated to be used for ancillary Airport improvements, such as 
freight terminals and all the many uses to which other bonds have been 
put by SFAIC. He said that for the first time the Board of 
Supervisors turned down the Airport's most recent project. He said 
they are not meant to finance hotels. There is a legitimate function 
for use of those bonds, and that is to provide tax free income in the 
State of California as well as the Federal Government. He felt that 
before the Commission adopts a policy it should make certain that the 
ramifications are understood. 

Commissioner Fleishell suggested that it might be helpful if staff met 
with the Board of Supervisors Finance Committee and reminded them of 
the Federal regulations and the legislative history that indicates 
that these bonds are intended to be used in that area. 

Commissioner Goosby asked if the Board of Supervisors has turned any 
down in the last two or three years. 

Mr. Don Garibaldi, Airports General Counsel, responded that the two 
most recent were for the Foreign Flag Carrier Corporation which the 
Commission approved and the Board turned down. Following that was the 
discussion with Hilton Hotel in connection with their expansion. 

Mr. Turpen said that he would be happy to refine the policy. 

Commissioner Goosby said that if the Commission has no objection a 
policy would be developed for a travel/training schedule for Airport 
representatives at the beginning of each fiscal year. 

Mr. Turpen responded that the Commission did adopt a resolution which 
approved a travel/ training schedule but did not adopt a resolution 
stating it is the Commission's policy to do so. He said that by that 
action the Commission stated a policy. 

Commissioner Goosby said that this precedence of going back through 
the calendars for policies was good and felt that it will be 
successful . 



Minutes, February 7, 1984, Page 6 



ITEMS RELATING TO ADMINISTRATION, OPERATIONS AND MAINTENANCE: 

The following item was a report and no resolution was adopted. 

7. Status Report on Planning for Special Events in 1984-85 

Informational report regarding 
planning activities by Airport 
staff in anticipation of the 
Democratic National Convention 
and several other special events 
occurring in 1984-85. 

Mr. Turpen said that the key question from the previous meeting was on 
facilities improvements. He said that staff has given the Commission 
a choice of three levels for the North Terminal Conference Room. The 
lowest level is three and has no cost. He suggested that if levels 
one and two are not consistent with the Commission's thinking that he 
be allowed to proceed with level three which would amount to no more 
than $15,000 and allow staff to spruce up that area. 

Commissioner Goosby asked what had to be spruced up. 

Mr. Turpen responded that the North Terminal V.I. P. Room is an 
extremely sterile area and the aesthetics were not reviewed by the 
Design Review Committee. He said it has been acceptable for meetings 
but he recommended toning down the sterility of the area and making it 
more consistent with what is trying to be achieved in the remainder of 
the terminal . 

Commissioner Coblentz said that most people will go through the 
Airport quickly to get into town. He felt that nothing should be done. 

Mr. Turpen responded that the North Terminal V.I. P. Room makes an 
excellent interface for the Democratic Convention in terms of its 
location and the ability for people to meet. 

Commissioner Fleishell asked who would meet there. He said that 
delegates will arrive on chartered aircraft and leave on buses. 

Mr. Turpen responded that traditionally V.I.P.'s have been handled in 
a particular way. The north end of the North Terminal was designed 
for VIP movement. Staff, along with governmental authorities have 
been looking at utilizing that area of the terminal for V.I. P. 
transfer . 

Mr. Turpen said that he would like to take the North Terminal V.I. P. 
Room, consisting of one large room and one small room, and install a 
movable partition, and soften the look of the room with plants and a 
new carpet and paint the room. He said we will have, as always, 
requests to meet incoming persons and many will request the 
opportunity to speak to the press. He explained that these requests 
have already been made. He would like to be equipped at a reasonable 
cost to put the Airport's best foot forward. It is estimated that a 
significant number of persons will require special handling from a 
security standpoint during the convention who may want and need access 
to the press in a less public environment. He said that what he" hoped 
to do was utilize what is in place at a minimal cost and concentrating 
the resources instead of spreading them over the Airport. He felt 
that this was a more economical way to go in the long run and the 
initial idea of localizing the access through the terminals has 
received excellent response. 

Mr. Turpen agreed with Commissioner Fleishell in that people will want 
to get into the City right away. But he felt that after the 
convention it will offer the opportunity for people to get together. 



Minutes of Meeting, February 7, 1984, Page 7 



Commissioner Coblentz said that the points Mr. Turpen enumerated are 
aesthetic and he will vote against them. He said that if it were for 
security and it was mandated he would have no problem. He said he 
would only vote for level three. 

Mr . Turpen assured the Commissioner that no money was needed for 
security; this was purely for aesthetics. 

Commissioner Goosby also moved Item 9, the Supplemental Appropriation 
for the Vehicles and Item 8, the Supplemental Appropriation for 
Special Events in July, 1984 with no additional costs for in-house 
routine maintenance on the V.I. P. Room. 

Commissioner Goosby asked if the surplus vehicles were returned to the 
City. 

Mr. Turpen responded that once the replacements arrive the surplus 
vehicles are returned to the Purchaser in an equal number. He then 
disposes of them by whatever procedure he has. 

The following items were unanimously adopted. 

8. $23,250 Supplemental Appropriation for Special Events in July, 1984 

No. 84-0016 Supplemental Appropriation for 

costs which will be incurred in 
Fiscal Year 1983-84, in preparation 
for the Democratic National 
Convention, the Ail-Star Game, and 
the Olympics. 

9. $62,500 Supplemental Appropriation to Purchase and Equip Five Airport 
Police Vehicles 

No. 84-0017 Resolution requesting $62,500 

Supplemental Appropriation to purchase 
and equip five (5) Airport Police 
vehicles. 

10. Modification No. 2 and Completion of Airport Contract No. 614 - 
Airfield Drainage Lines at Runways 19R and 19L and Pump Station 

No. 84-0018 Resolution accepting the work 

performed under Airport Contract 
No. 614, Airfield Drainage Lines 
at Runways 19R & 19L and Pump 
Station, as satisfactorily complete; 
approving and requesting the 
Controller's certification of Credit 
Modification No. 2 in the amount of 
$50,776.77; extending the completion 
date from May 14, 1983 to July 6, 
1983; approving the agreement for 
payment of monies not in dispute; 
authorizing the Director of Airports 
to execute said agreement for the 
Airports Commission and approving 
final payment in the amount of 
$43,744.43 in favor of the Contractor, 
Dal ton Construction Company. 



Items 11 and 13 were called together, 



Minutes, February 7, 1984, Page 8 



11. Approval of budget for Professional Services Contract, 

O'Brien-Kreitzberg & Associates, Inc. Contract Amendment No. 5 - 
$688,000 ~~~ 

Mo. 84-0019 Resolution approving budget of $688,000 

for 12-month period commencing March 15, 
1984, for professional services contract 
between City and O'Brien-Kreitzberg & 
Associates, Inc. Consultant to continue 
to provide scheduling, cost control, 
inspection, and monitoring services, and 
to provide personnel and equipment 
resources in the management of the 
Airport's Terminal Construction Program. 

Commissioner Bernstein asked what the contract was for. 

Mr. Yuen responded that O'Brien-Kreitzberg did the scheduling and 
monitoring of the contractor's progress. He said that he based his 
monthly report on this. He said that they also check the contractor's 
invoice for work done and check against the cost loading which is 
agreed on at the beginning of the contract to avoid overpayment. They 
also furnish all inspectors on the field other than the ones from 
Public Works, and this is highest portion of their cost. He reminded 
the Commission that in his last report he mentioned that he was trying 
to keep the inspection to a minimum. 

Commissioner Bernstein asked if the Airport had staff to do this. 

Mr. Yuen replied that the Airport did not. 

Commissioner Goosby asked what happened if the Commission did not 
approve item 11. 

Mr. Yuen responded that if item 11 was approved today and HRC failed 
to approve it within 10 days, then the Airports Commission resolution 
would be invalid. He explained that approving the resolution today in 
anticipation of HRC approval would make a return to the Commission 
unnecessary. 



13. Award of Contract 1410C-1 - Tunnels "A" & "C Steel Panels, to Hogan 
Manufacturing Inc., Escalon, California, in the total amount of 
$438,000 - Budget for this work is $505,000 

No. 84-0021 Seven bids were received on January 25, 

1984. Total base bids ranged from 
$344,301 to $801,000. The apparent low 
bidder, Ashby Metal Products has 
requested withdrawal of their bid 
because of a computation error. Staff 
concurs and recommends award to Hogan 
Manufacturing Company, the second low 
bidder . 



Mr. Turpen asked Mr. Jason Yuen to brief the Commission and said he 
would present a revised resolution for adoption. 

Mr. Yuen said that the Human Rights Commission asked for an additional 
10 days to certify and approve the contract. He said that the revised 
resolution approves the contract "subject to Human Rights Commission 
approval within 10 days." 

Commissioner Fleishell said that the Commission has a policy which 
indicates that these items are not to be brought before the Commission 
without prior approval by the Human Rights Commission. 

Mr. Yuen responded that he was not aware of such a policy and at the 
last meeting the Commission awarded a contract to Williams & Burrows 
in the same manner. 



Minutes, February 7, 1984, Page 9 



Commissioner Coblentz said Mr. Yuen was correct. 

Commissioner Goosby remarked that a year or so ago the Commission 
discussed the issue of awarding contracts after HRC approval. He felt 
that the Commission should wait for the approval. 

Mr. Yuen responded that if approval was not received within 10 days 
there would be no award. 



12. Award of Contract #1206 - South Terminal Aircraft Apron Paving, 
Phase I 

No. 84-0020 Award of Contract #1206 - South Terminal 

Aircraft Apron Paving, Phase I to Kasler 
Corporation, San Bernadino, CA. in the 
total amount of $5,249,245.00. 
Construction budget for this work is 
$5,500,000. 



14. Bid Call Contract No. 1481 - High Voltage Distribution - International 
and South Terminals 

No. 84-0022 Resolution approving the final plans and 

specifications and authorizing the 
Director of Airports to call for bids 
for Airport Contract No. 1481, High 
Voltage Distribution - International and 
South Terminals. 

The purpose of the contract is to remove 
all five of the PCB high voltage 
transformers for the terminal complex 
and reconnect loads to alternate 
sources. Work includes replacing 
International Terminal transformers with 
low voltage transformers served from 
other load centers, replacing South 
Terminal transformers with one dry-type 
transformer, and reconnecting high 
voltage feeder to field lighting 
building from International Terminal to 
South Terminal. 



15. Contract with the Parry Company - $10,000.00 

No. 84-0023 Contract with The Parry Company to 

provide noise impact contours for the 
twelve-month period preceding December 
31, 1983, and June 1, 1984, to be used 
to calculate the dwelling unit count; 
$10,000.00. 



CONSENT CALENDAR OF ROUTINE ADMINISTRATIVE MATTERS: 

The following items were unanimously adopted. 

16. Modification of Agreement No. 17 and Final Payment - Contract Proposal 
68251-A Shuttle Bus Service 

No. 84-0024 Resolution approving Modification No. 17 

to the Shuttle Bus Service Agreement to 
provide for price adjustment to 
compensate for increases in labor wage 
rates and decreases in fuel costs. 
Total Cost: $74,826.27. 

Minutes of Meeting, February 7, 1984, Page 10 



Commissioner Goosby asked why the year wait. 

Mr. Sheldon Fein, Landside Operations, responded that there were 
negotiations going on with the union which lasted six or seven months 
past the end of their contract with the drivers. When approval was 
finally reached the pay raise was retroactive. 

Commissioner Goosby asked if the Shuttle Bus was up for bid with the 
Airporter . 

Mr. Fein responded that the Shuttle Bus was bid beginning January 1st 
and is under a new contract. The buses have been ordered and delivery 
will be in a week or two. 



17. Travel to AOCI Security Conference. 

No. 84-0025 Request for one staff member to attend 

the AOCI Security Conference in Reno, 
Nevada . 



PUBLIC HEARING: 

The following item was put over to the next meeting. 

18. Increase in Rental Rates for Permitted Cargo Space . 

Resolution adopting new rate schedule 
for cargo handling space rented to 
airlines under permits. 

Commissioner Coblentz said he received a letter from American Airlines 
requesting a postponement of this item. 

Mr. Turpen said that a request for postponement was also received from 
Mexicana. Staff concurs that the item be put over to February 21st. 



L. COMMUNICATIONS: 

There was no discussion by the Commission. 

* * * 



M. TRAILING CALENDAR: 

Comments on the Trailing Calendar were made under Items Initiated by 
Commissioners. 

* * * 



0. ADJOURNMENT: 

There being no further calendared business before the Commission the 
meeting was adjourned at 2:35 P.M. 



|tUU_- U)<50 



Gale Woo 

Acting Commission Secretary 



Minutes, February 7, 1984, Page 11 



SAN FRANCISCO 
AIRPORTS COMMISSION 




DOCUMENTS DEP T . 

JUL 1 6 1984 



MINUTES 



Tuesday, February 21, 1984 



DIANNE FEINSTEIN, MAYOR 

COMMISSIONERS 

MORRIS BERNSTEIN 

President 

WILLIAM K. COBLENTZ 

Vice-President 

RUTH S. KAOISH 

DR. Z.L GOOSBY 

J. EDWARD FLEISHELL 



LOUIS A.TURPIN 
Director of Airports 

San Francisco International Airport 
San Francisco, California 94128 



Index 

of the 

Minutes 

Airports Commission 

February 21, 1984 Meeting 



Calendar 


Agenda 




Resolution 




Section 


Item 


Title 
CALL TO ORDER 


Number 


Page 


A 




3 


B 




ROLL CALL 




3 


C 




SPECIAL ITEM: 








1 


Commendation to Danial McHale 


84-0026 


3 


D 




DIRECTOR'S REPORTS: 







2 Host International-Interna- 
tional Terminal and South 

Terminal Facilities 4-5 

3 Concession Operational Audits 5 

4 Progress Report on 1-380 

Highway Construction Program 5-6 

5 Proposed Action Plan for the 
Development of an Airport 

Land Use Master Plan 6 

POLICY: 

6 Airport Vending Machine 

Policy 84-0027 7 

7 Long-Term Parking Analysis 7 
POLICY REVIEW: 

8 Review of Valet Parking, 
Travel Schedule and In- 
dustrial Revenue Bond 84-0028 
Policies 84-0029 7-8 

ITEMS RELATING TO ADMINISTRATION, 
OPERATIONS AND MAINTENANCE: 

9 $117,500 Supplemental 
Appropriation for the Purchase 
and Installation of Luggage 

Carts 84-0030 8 

10 Authorization to Bid: 

Principal Concession Lease 

and Agreement-North Terminal 

"Hub" and Approval of 

Assignment of Lease: North 

Terminal Jewelry Shop Lease 8-9 



Minutes, February 21, 1984, Page 1 



Calendar Agenda Resolution 

Section Item Title Number Page 

11 Resolution Exercising Options, 
Subject to Conditions, Rental 

Car Leases 10 

12 Five-Year Extension of Hotel/ 
Motel Advertising Service 

Agreement 10-11 

13 South Terminal Art 

Enrichment Program 84-0031 11 

14 Professional Services 
Agreements with Better 
Carpet Care; FSC, Inc., 
and Rainbow International 
Carpet Dyeing and Clean- 
ing Company 84-0032 11-12 

15 Professional Services Con- 
tract with San Mateo County 12 

16 Contract Wo. 1310, F.I.S. 
Annunciator Panels, Inter- 
national Terminal: Approval 
of Preliminary Design, Budget 

and Authorization for Bid Call 84-0033 12 

17 Award of Contract No. 1371 
Reconstruct and Overlay 

Runway IL-19R 12-13 

18 Award of Airport Contract 
No. 1525 Replacement of 
12-Inch Water Main at Buter 

Ramp Area and at R-21 Roadway 84-0034 13 

19 Rental Credits for Inter- 
national Terminal Work 84-0035 13 

H CONSENT CALENDAR OF ROUTINE 

ADMINISTRATIVE MATTERS: 

20 Tenant Improvement: Northwest 
Orient Airlines Cargo Handling 
System Modification T-2833 

$200,000-No Rental Credit 84-0036 13 

21 Retirement of Three Staff 84-0037 
Members from the Airport 84-0038 
Electric Shop 84-0039 14 

I PUBLIC HEARING: 

22 Increase in Rental Rates 

for Permitted Cargo Space 84-0040 14-16 

J COMMUNICATIONS: 16 

K TRAILING CALENDAR: 16 

M ADJOURNMENT TO GO INTO 

CLOSED SESSION: 16 



Minutes, February 21, 1984, Page 2 



Minutes 

of the 

Airports Commission 



February 21, 1984 



CALL TO ORDER: 

The regular meeting of the Airports Commission was called to order at 2:00 
P.M. in Room 282, City Hall, San Francisco, California 



B. ROLL CALL: 

Present: Commissioners Morris Bernstein, 

Z. L. Goosby, J. Edward Fleishell 

Absent: Commissioners William K. Coblentz, 

Ruth S. Kadish 



SPECIAL ITEM: 

The following item was unanimously adopted. 

1. Daniel McHale Resolution 

No. 84-0026 Resolution of Commendation to Daniel 

V. McHale upon his leaving the San 
Francisco Airport Hilton Hotel. 

Mr. Lou Turpen, Airport Director, said that Dan McHale, will be 
retiring after 8 years as manager of the Airport Hilton Hotel and 16 
years with the Hilton Corporation. He said that Mr. McHale has been 
a friend of the Airport and asked the Commission to join him in 
wishing Mr. McHale well and expressing appreciation to him for all 
his efforts on behalf of the Airport. 



Minutes, February 21, 1984, Page 3 



D. DIRECTOR'S REPORTS: 

2. Host International - International Terminal and South Terminal 
Facilities. 

Report reviewing highlights of recent 
negotiations with Host International 
regarding proposed permanent closure 
of International Room restaurant, 
upgrade of Barbary Coast Saloon 
(International Terminal), and South 
Terminal facilities development 
following Modernization and 
Replacement Program remodeling. 

Mr. Turpen said that after a number of meetings with staff and with 
Host he recommended abandoning the existing location for the 
International Room and opt instead for a major first class restaurant 
facility in the South Terminal in the vicinity of Boarding Area B, 
the TWA-Western concourse. Mr Turpen said that from the Airports 
perspective this was a better location in terms of economics and 
visibility. He said that Boarding Area B is the busiest concourse on 
the Airport. He told the Commission that Host has presented staff 
with a comprehensive plan for the South Terminal and would like the 
Commission's reaction to that plan either today or before the next 
meeting. Mr. Turpen said the key question before the Commission is 
the abandonment of the International Room and the acceptance of 
Host's South Terminal Plan. He explained that if the International 
Room is abandoned there are three facilities in the Central Terminal 
which would serve passengers: the Vista Lounge, out in the boarding 
area; the cafeteria facility; and, a limited sit-down service in the 
bar area across from the cafeteria as proposed by Host. He said that 
these facilities should meet passenger needs in the Central Terminal 
and Host's plans for the South Terminal should meet passenger needs 
there. 

Commissioner Goosby asked what the anticipated costs were for the 
Airport. 

Mr. Turpen responded that if Host went ahead with the International 
Room the additional cost would be $1.4 million, or, $700,000 each for 
the Airport and Host. 

Commissioner Goosby asked for a cost comparison of the International 
Room as opposed to a new facility. 

Mr. Jason Yuen, Administrator, Bureau of Planning and Construction, 
said that the maximum fee for revising the drawings for the South 
Terminal is $10,000 but the actual cost is expected to be about 
$2,000 - $3,000. Host will take care of all of the construction and 
all improvements with no cost to the Airport. This is a total 
savings to the Airport of $750,000. 

Mr. Turpen asked about the cost of the space in the Central Terminal. 

Mr. Yuen responded that that depends on what the space would be used 
for. The cost for office space might run about $80,000. If it is to 
be used for rental space it won't be as much because the tenant will 
take care of improvements. Mr. Yuen said there is about 10,000 - 
12,000 square feet of space. 

Commissioner Goosby said that this space offered staff the 
opportunity to be creative and that use of that area should not be 
limited to office space. 



Minutes, February 21, 1984, Page 4 



Commissioner Fleishell asked why it has taken so long for staff to 
come to this point when Host has been advocating abandoning the space 
for over a year. He also asked about the thousands of dollars spent 
in renovating the facilities in the Central Terminal that will now 
not be used. 

Mr. Yuen, in addressing Commissioner Fleishell's second comment, 
responded that the contractor did some remodeling work because of 
structural damage. He explained that the contractor had to open up 
the walls to get to the structure but that no additional work was 
done. 

Commissioner Fleishell again asked why it took a year. 

Mr. Turpen responded that he could not answer that question. 

Commissioner Goosby said it was unfortunate that the main restaurant 
could not be centrally located. 

Mr. Turpen said staff will proceed as outlined and report back to the 
Commission with alternate uses of the current International Room area. 



3. Concession Operational Audits 

Report indicating the schedule of 
concession audits and establishment of 
a concession audit committee. 

Mr. Turpen said this item is in response to a Commission concern 
regarding a review of concessions from a non-financial perspective. 
He said that a schedule has been outlined and sample questionnaires 
filled out by a concession audit person. He explained that this was 
not a financial audit but an operational audit consisting of cost of 
goods, operating hours, products sold, lease compliance. 



4. Progress Report on 1-380 Highway Construction program 

Report summarizing the status of the 
Highway projects scheduled for 
construction in the Airport area, and 
related mitigation programs. 

Mr. Turpen explained that this was an update on the 1-380 
construstion program. He said it was his understanding that 
construction on the Airport Interchange and the connections to 380 
will begin in May or June and that the study on the San Francisco 
Garter Snake will run concurrently to the construction. He said 
staff will work with CALTRANS to provide a better access to the West 
of Bayshore and that CALTRANS has included a modified West of 
Bayshore access to their Five Year Plan. Mr. Turpen explained that 
CALTRANS has indicated that they will not fund this. He said that 
early estimates indicate it will cost $5-10 million to construct the 
access interface with Highway 101. 

Commissioner Goosby asked if CALTRANS was committed to construct the 
access. 

Mr. Turpen responded that CALTRANS will pay for those portions they 
committed to the Airport and has reserved the funds to pay for what 
they would have done. 



Minutes, February 21, 1984, Page 5 



Mr. Turpen said that there would be a southbound ingress and egress 
onto 101 and a northbound overpass onto the West of Bayshore and onto 
101, offering a more direct connection. 



Proposed Action Plan for the Development of an Airport Land Use 
Master Plan 

Mr. Turpen said there are three items on today's calendar that are 
closely related. The first is the master plan for the Airport which 
includes the terminals and garage. The non-terminal area master 
plan, which has been filed with the FAA, is not up-to-date and does 
not recognize the demands of the future. He said that staff is 
capable of developing the alternatives to satisfy the demands but 
that those demands can be identified more expeditiously and 
inexpensively by an outside source rather than in-house. 

Mr. Turpen said that along with the concept of the master plan are 
items concerning Airport parking, i.e., long term parking 
availability, and on-Airport rent-a-cars, both of which impact the 
master plan concept. 

Mr. Turpen explained that the critical nature of the on-Airport 
parking is that in 5-6 years the Airport will have exceeded its 
ability to support long-term parking and for that reason he would 
like to be far enough ahead in planning and development to have those 
facilities available on demand. 

Mr. Turpen asked for the Commission's views and reactions. 

Commissioner Fleishell said that he felt staff was capable of 
deciding what to do with land not occupied by terminals, runways, and 
existing facilities and would not vote to hire a consultant. 

Mr. Turpen said that the question is not what to do with the vacant 
land but what to do with all of the land. Should the Airport 
re-think the cargo operation, should the Airport be building 
facilities and leasing them out for cargo, should some facilities 
that are presently under permit be demolished. He felt that staff 
can handle this and asked for some input from the Commission. 

Mr. Turpen said that if the Commission does not wish to go for a full 
fledged consultant he asked that the Commission consider approving an 
intermediate sum. He agreed with Commissioner Fleishell that staff 
can best make the decisions as to what types of buildings are needed 
and where they should go but felt that information such as how many 
square feet of cargo space will be needed in San Francisco in 1990 
could more easily be obtained from an outside source. 

Mr. Turpen recommended bringing the three items (master plan, 
long-term parking and on-Airport rent-a-cars) back as one package 
after staff has had an opportunity to review these issues. 

Commissioner Goosby said that if the Commission decides to go with a 
consultant for the entire package he would like to see the suggested 
list of consultants. 



Minutes, February 21, 1984, Page 6 



E. POLICY: 

The following item was unanimously adopted. 

6. Airport Vending Machine Policy 

No. 84-0027 Resolution adopting a comprehensive 

San Francisco International Airport 
Vending Machine Policy. 

Mr. Alan Friedman, attorney for the San Francisco Newspaper Agency, 
said Mr. Turpen has been very cooperative and believes the policy 
should be adopted. 



The following item was put over. 

7. Long Term Parking Analysis 

Resolution authorizing staff to begin 
development of an Airport Long Term 
Parking Expansion Program, including 
the development of specifications for 
an RFP, and the initiation of the 
interviewing and selection process for 
a consultant firm required for the 
feasibility and environmental analysis 
necessary for the program. 

Mr. Turpen said that based on the previous discussion no action will 
be taken on this item. He explained that based on a long-term 
analysis there will be a shortage of long-term parking spaces in the 
future. He said that recognizing that it takes 3-4 years to get 
through the process the Airport is on the edge of a decision in terms 
of an EIR. He recommended putting this with the master planning item 
with the recognition that an EIR will be needed. Mr. Turpen added 
that a consultant will be needed for the development of an EIR. 



F. POLICY REVIEW: 

The policies on Valet Parking and Travel Schedule were unanimously 
adopted. The policy on Industrial Revenue Bonds was put over. 

8. Review of Valet Parking, Travel Schedule and Industrial Revenue Bond 
Policies 

No. 84-0028 
No. 84-0029 

Mr. Turpen said these items were a follow-up to the Policy Review 
section on the last calendar and reflect comments made by the 
Commission. 

Commissioner Fleishell said that it is the position of the Commission 
that Industrial Revenue Bonds are basically used for airline 
tenants. He questioned the wording of the resolution arguing that 
the financing of the Hilton Hotel annex could "contribute to the safe 
and efficient operation of the Airport." 



Minutes, February 21, 1984, Page 7 



Mr. Turpen responded that it is the Commission's prerogative to make 
the determination of safety and efficiency and that safeguard is 
listed in the resolution. He said he would be happy to take another 
look at the resolution. 

Mr. Turpen asked if the term "aeronautical support" was more in line 
with the Commission's thinking. 

Commissioner Fleishell responded that that has been the tradition. 



ITEMS RELATING TO ADMINISTRATION, OPERATIONS AND MAINTENANCE: 

The following item was unanimously adopted as amended. 

9. $117,500 Supplemental Appropriation for the Purchase and Installation 
of Luggage Carts 

84-0030 Resolution authorizing a request for a 

$117,500 Supplemental Appropriation to 
purchase and install luggage carts in 
the customs area. 

Mr. Turpen told the Commission that since this item was put together 
he has had the opportunity to meet with the Fire Marshall to review 
some of his requirements and he believes that the amount of money 
reflected in this item is high. He would like to take another look 
at the estimate for installing the barrier, revise it and return to 
the Commission in two weeks. 

Commissioner Goosby suggested adding the phrase "not to exceed 
$117,500" rather than putting the item over. 

Commissioner Fleishell agreed with Commissioner Goosby 's suggestion. 

The resolution was so amended. 



The following items were put over 

10. Authorization to Bid: Principal Concession Lease and Agreement - 
North Terminal "Hub" and Approval of Assignment of Lease: North 
Terminal Jewelry Shop Lease. 

Resolution approving leasehold 
specifications authorizing Director to 
bid North Terminal "Hub" Principal 
Concession Lease and Agreement, and 
approving of assignment of Jewelry 
Shop Lease into that bid. 

Mr. Art Spring, Host, said it was his understanding that the existing 
jewelry shop concessionaire is being granted a release from his 
existing contract and asked if he would then be precluded from 
bidding. 

Mr. Jim Woods, Deputy City Attorney, responded that he would have to 
research the issue. 



Minutes, February 21, 1984, Page 8 



Commissioner Fleishell said that there are existing provisions of the 
Administrative Code that permit any department in the City, with the 
concurrence of the Controller, to eliminate from the bidding process 
anyone who has been in default of a prior contract. He felt that 
since the Commission is relieving the concessionaire of his 
obligations he should not be allowed to bid on another concession 
involving similar activities. Commissioner Fleishell asked Mr. Woods 
to check on where the Airport stands on enforcement of this provision. 

Commissioner Fleishell asked that the statement "that and any other 
person, firm, corporation or allied company with the same 
shareholders be deleted from the resolution. 

Mr. Turpen recommended putting the item over. 

Commissioner Goosby asked how American Dry Goods differed from a 
Western Shop. He said that certain items were eliminated because 
they would impact concessions in the main concourse, yet the 
newsstand and bookstore were not being eliminated. 

Ms. Gittens responded that the newsstand and bookstore operations in 
that area are doing well and there is room for additional service. 

Commissioner Goosby said that the jewelry shop is not doing well yet 
another shop is being installed. 

Ms. Gittens responded that the jewelry shop on the concourse is being 
kept but the other is being substituted. The same concessionaire 
would have both. 

Commissioner Bernstein asked if any disscussions had been held on 
compensation for cancellation of the lease. 

Ms. Gittens responded that discussions had been held regarding 
requiring $20,000 from Dobbs. 

Commissioner Goosby asked what the American Dry Goods shop would sell. 

Ms. Gittens responded that is could include a lot of things; they 
could come in with a Western theme. 

Commissioner Goosby said that about 1500 square feet would be left 
unused and asked if that space could be utilized for whatever the 
concessionaire wanted. 

Ms. Gittens responded that a minimum amount was required for public 
retail space but how the space should be used has not been specified; 
it cannot all be used for storage. 

Mr. Turpen said that 70 percent must be public retail space and 30 
percent can be used for storage. 

Commissioner Fleishell, commenting on Item E, "Specialty Boutique 
Shop" said that "Boutique" is defined as "small shop". He said that 
it can sell newspapers, jewelry or clothing. He said that limiting 
it to 250 square feet makes it a small shop by definition. He said 
that the type of shop should be defined as well as what it sells. 

Ms. Gittens said this is typically done in the pre-bid conference. 

Commissioner Goosby said that staff should return to the Commission 
with input from prospective bidders at the pre-bid conference. 

Mr. Turpen said this item will be brought back at the next meeting. 



Minutes, February 21, 1984, Page 9 



11. Resolution Exercising Options, Subject to Conditions, Rental Car 
Leases 

Resolution granting five (5) one-year 
options subject to conditions 
precedent to each of the five 
On-Airport rental car companies. 

Mr. Turpen recommended putting this item over as part of the master 
plan theme. He recommended going with one-year extensions rather 
than five-year extensions in order to maintain flexibility. Staff 
feels that in five years the existing location of the rental cars 
will not support the volume. Staff also recognizes that in the short 
term no dramatic changes will be made to that operation. Staff is 
looking at an alternative to move them out of the present location. 
Recognizing that this cannot be done overnight, staff would like to 
keep the Airport's options open wth a year-to-year extension. Staff 
is presently in negotiation with the rent-a-car companies and will 
return to the Commission within a month. 



12 Five-Year Extension of Hotel/Motel Advertising Service Agreement 

Resolution approving five-year 
extension of Hotel/Motel Advertising 
Service Agreement to Ackerley Airport 
Advertising, Inc. pursuant to revised 
rental and capital improvement 
programs. 

Commissioner Bernstein asked Mr. Ken Gordon, West Coast Sales 
Manager, Ackerley Airport Advertising, Inc., to speak. 

Mr. Gordon said that under their current agreement with the Airport 
(Paragraph B, Expiration of Term Option) the Commission has the sole 
option to extend Ackerley' s services for an additional period of five 
years beginning March 1, 1984. 

Mr. Gordon said that Ackerley purchased the concession rights from 
Hart and Johnson Advertising in 1980. Since that time Ackerley has 
improved the services and aesthetic appearance of the courtesy phone 
centers in the baggage area which included revamping the ground 
transportation system with these units. He explained that at least 
$150,000 has been expended toward this end. Mr. Gordon said that 
since taking over the concession revenue sharing has been raised 238 
percent. 

Mr. Gordon said that Ackerley does not feel that they have given the 
Airport any cause to open this up to bid and Ackerley feels it 
deserves an automatic extension based on their past record. 

Mr. Turpen said that Mr. Gordon was correct when he said that the 
Commission had the option to extend the agreement. He said he was 
contacted by another firm and was asked that they be given the 
opportunity to explain the merits of opening up this concesssion to 



Minutes, February 21, 1984, Page 10 



bid. The Commission can honor the request and listen to what the 
individual has to say and then make a determination to extend the 
agreement or, they can deny the request to put the itme over and 
extend the agreement today. Mr. Turpen said he has not had the 
opportunity to review the letter that was received this morning so he 
is not able to discuss the merits at this time. He did not think it 
would be harmful to put the item over and ask the Commission for a 
reaction. 

Commissioner Fleishell said staff has done a great job in bringing 
the contract up to higher standards. He said that the whole object 
of giving a contract for five years with a five year option solely at 
the discretion of the Commission is to allow the Commission some 
leeway in making certain that the Airport receives good performance 
by the contracting party. He said that when a company spends five 
years abiding by a contract and building good will you don't tut.. 
around and give the contract to someone else offering $5.00 more. He 
said that Acker ley has done a good job and the Commission is under a 
moral obligation. He said he is prepared to follow staff's 
r ecommendat i on . 

Commissioner Goosby agreed with Commissioner Fleishell, however he 
has no objection to listening to the other party's comments. He said 
that if they had any figures to present they should first go to staff 
and then they could be presented to the Commission. 

Commissioner Bernstein said he received a request for postponement 
and he promised he would try to get the item put over. He said he 
respected Commissioner Fleishell' s argument. 

Mr. Turpen suggested putting the item over for no more than two weeks 
and that any information pertinent to this subject be submitted to 
his office no later than Friday. 



The following items were unanimously adopted. 

13. South Terminal Art Enrichment Program 

84-0031 Resolution approving budget of 

$570,000 for the South Terminal Art 
Enrichment Program and authorizing the 
transfer of $28,500 to the Art 
Commission for administrative expenses 
in accordance with the City's 
Administrative Code. 

Mr. Jason Yuen told the Commission that this was simply a transfer of 
administrative money for the Art Commission so they can start work on 
the program. 



14. Professional Services Agreements with Better Carpet Care; FSC, Inc., 
and Rainbow International Carpet Dyeing and Cleaning Company 

84-0032 Resolution authorizing Director of 

Airports to execute professional 
services agreements with three carpet 
dyeing companies to dye a small area 
of the International Terminal carpet 
as a test. The total area to be dyed 
shall not exceed 3,000 sq. ft. Cost 
for cleaning and dyeing the carpet 
shall not exceed 80/5 per sq. ft. 
Total cost for all three contracts 
shall not exceed $2,400. 



Minutes, February 21, 1984, Page 11 



Companies selected are: 

Better Carpet Care of Concord, CA 

FSC, Inc. of Modesto, CA 

Rainbow International Carpet Dyeing 

and Cleaning Co. of Waco, TX. 



The following item was put over. 

15. Professional Services Contract with San Mateo County 

This agenda item concerns a 
professional services agreement 
between the City and County of San 
Francisco and San Mateo County wherein 
the County will be an independent 
contractor of the City to advise the 
Commission regarding possible actions 
to be taken to reduce the impact of 
aircraft generated noise on the San 
Mateo County environs. 

Mr. Turpen recommended putting this item over for at least a month. 
He reminded the Commission that last year the Airport purchased 
$10,000 worth of services from San Mateo County for the Roundtable. 
He said that after this calendar item was prepared it was brought to 
his attention that there was an expectation that this year's contract 
would be $14,000. Mr. Turpen said that he objected to the scope of 
the contract and that it is presently under review. He said he would 
come back to the Commission at a later date with a modified program. 

Commissioner Fleishell asked if this was the same performance 
language that was in the contract last year. He said he recalled 
voting to provide funds for the Roundtable. He said that he 
questioned some of the items in the contract specifically mentioning 
the clause that calls for San Mateo County to act in an advisory 
capacity to the Commission. 

Mr. Jim Woods said he would call Commissioner Fleishell and go over 
the contract with him. 



The following item was unanimously adopted. 

16. Contract No. 1310, F.I.S. Annunciator Panels, International Terminal: 
Approval of Preliminary Design, Budget and Authorization for Bid Call 

84-0033 Resolution approving (1) the 

preliminary design for the 
installation of F.I.S. Annunciator 
Panels, (2) construction budget of 
$30,000, and (3) a 7-1/2% contingency 
budget of $2,250. 



Resolution also authorizes the 
Director to call for bids when ready. 



The Following item was put over to the March 6 meeting. 

17. Award of Contract No. 1371 

Reconstruct and Overlay Runway 1L - 19R 



Minutes, February 21, 1984, Page 12 



Award of Contract 1371, Reconstruct 
and Overlay Runway 1L-19R, to Ghilotti 
Brothers, Inc., San Rafael, CA in the 
total amount of $2,533,492.50. 

Mr. Jason Yuen asked the Commission to put the item over for two 
weeks as the Human Rights Commission needs more time. He said there 
was no rush on this item. 



The following items were unanimously adopted. 

18. Award of Airport Contract No. 1525 

Replacement of 12-Inch Water Main at Butler Ramp Area and at 
R-21 Roadway 

84-0034 Resolution awarding Contract No. 1524 

to Ranger Pipelines, Inc., 2748 
Junipero Serra Blvd., Daly City, Ca 
94015, in the amount of $355,470.00. 
Twelve (12) bids were received on 
January 25, 1984. 

Construction time is 100 calendar days. 

Commissioner Fleishell asked if the Airport would suffer any 
liability from Butler if the Airport interfered with their operation 
by tearing up a main which is at the taxiway. 

Mr. Dennis Bouey, Deputy Director of Facilities, Operations and 
Maintenance, responded that he could not answer the question in terms 
of liability, however all the work would be coordinated with Butler 
and other airlines that will be affected. 

Commissioner Fleishell said the airlines won't sue the Airport 
because they have a contractual relationship but Butler does not. He 
cautioned Mr. Bouey on this. 



19. Rental Credits for International Terminal Work. 

84-0035 Resolution approving rent credits for 

several airlines for Airport work 
performed by the airlines in order to 
meet International Terminal opening 
deadlines. 



H. CONSENT CALENDAR OF ROUTINE ADMINISTRATIVE MATTERS: 

The following items were unanimously adopted. 

20. Tenant Improvement: 

Northwest Orient Airlines Cargo Handling System 
Modification T-2833 - $200,000 - No Rental Credit 

84-0036 Resolution approving the plans and 

specifications for the modification of 
cargo handl ing system. 



Minutes, February 21, 1984, Page 13 



21. Retirement of Three Staff Members from the Airport Electric Shop. 

84-0037 Resolution expressing Best Wishes for 

84-0038 the fullest measures of health and 

84-0039 happiness in a long and fruitful 

retirement for Louis Comollo, Delfin 
Kopico, and Henry Kutlik, of the 
Airport Electric Shop. 



I. PUBLIC HEARING: 

The following item was unanimously adopted. 

22. Increase in Rental Rates for Permitted Cargo Space 

84-0040 Resolution adopting new rate schedule 

for cargo handling space rented to 
airlines under permits. 

Mr. Turpen told the Commission that the increase in rental rates is 
for those cargo areas currently under permits and not under lease. 
Staff feels that the increase is consistent with the value of the 
property and that the increase is predicated upon access not only for 
aircraft but for automobile parking. 

Mr. Brendan Carmody, American Airlines, said that the Commission 
should have received Mr. Dick Jamison's night letter and corrected a 
mis-statement in that letter indicating that the Airport did not have 
any money invested in the construction of the building. He said the 
Airport had a budget of $850,000 and American had to supply anything 
over that amount. American supplied in excess of $244,000 for 
construction of the building. He said that American also constructed 
the two-story office portion and did all the interior finishes. He 
explained that that is a 158 percent increase in rates, fees and 
charges over 16 years, or, 10 percent a year. 

Mr. Carmody felt this increase was arbitrary. He said they were 
advised that a staff study was done that looked into a rate-making 
formula based on cost rather than on market appraisals. He said that 
that is the essence of the Lease and Use Agreement settlement. He 
asked what happened to the Airport's study. 

Mr. Carmody also said that this purports to consider and address 
certain inequities among the carriers. He mentioned some other 
inequities that should be addressed. He said that American was 
forced to spend $120,000 to refine and enlarge certain taxiways to 
make the cargo building area accessible by 747 's. They felt this 
work should have been done by the Airport. American supplied the 
money, engineering, and supervised the work. Japan Air Lines agreed 
to participate in the cost as they benefited from this. Pan 
American, the biggest beneficiary, was offered the same opportunity 
but has not contributed any money. 



Minutes, February 21, 1984, Page 14 



Mr. Carmody said that American Airlines has been meeting its 
responsibility of making the payments on space that is in excess of 
their requirements. He told the Commission that this year American 
will have to make $1,000,000 worth of extraordinary repairs. He said 
they have a 40 year lease on the superbay out of which they cannot 
get. Every 10 years American gets a rent increase based on market 
appraisals. He said that they have only a 30-day permit in the cargo 
building and the Airport could get out of it on 30-days notice. He 
said that the cargo building is not the white elephant that the 
superbay is and felt that this inequity should be addressed. 

Ms. Angela Gittens, Deputy Director of Business and Finance, 
responded to some of the issues raised by Mr. Carmody. Referring to 
Mr. Carmody' s comments on the staff study on cost she said that that 
study was done by members of the Airline Affairs Committee, which 
included Mr. Jamison. They were convened as a task force to look 
into alternatives to the market value appraisal for cargo space. Ms. 
Gittens said that the task force was covered for over a year but 
nothing ever came of it. Mr. Wally Wortman, Director of Real Estate, 
had agreed to entertain any alternatives arrived at by the task force 
but never received any. 

Regarding the taxiway issue, Ms. Gittens said that it was her 
understanding that the Airport was going to put in a taxiway as part 
of the North Terminal project but American and Japan Air Lines would 
have to wait an additional four years. They chose not to wait and 
went ahead on their own. 

Mr. Turpen asked if American had a lease on the building and, if so, 
did they have an option to extend. 

Ms. Gittens responded that American did have a lease with an option 
to extend but were about nine months late in exercising the option. 
She said at that point they were put on a permit. She said 
American's lease was up on December 30, 1972 but did not send a 
written request to exercise the option until September 19, 1973. She 
said that there were three, one-year options available. 

Commissioner Fleishell asked Mr. Carmody to explain what he meant 
when he said that rental returns should be based upon cost. 

Mr. Carmody responded that a couple of weeks ago the Commission 
adopted a resolution allowing the airlines to charge a sub-tenant 
only 15 percent more than their demonstrated actual out-of-pocket 
cost. He suggested that something like that apply to the Commission 
as well. 

Commissioner Fleishell asked how the other airlines felt about this 
proposed change. 

Ms. Gittens responded that they all object to an increase but most 
understand that it is overdue. She said she has not received any 
objection to the basic structure of what is being done. One of the 
tenants objected to the classification of the building but this issue 
does not affect the resolution and can be taken up at a later date. 

Commissioner Goosby asked what the airlines were paying per square 
foot. 

Ms. Gittens replied that most were paying between $3.00 and $3.35. 

Commissioner Goosby asked if American was in a unique position. 



Minutes, February 21, 1984, Page 15 



Mr . Turpen responded that it was his understanding that they did put 
in some money and they expected to amortize that investment over the 
life of their lease plus the extension. He said that even if the 
extension was granted it would have expired in 1974 or 1975 which 
means that the building would have belonged to the Airport anyway. 
Mr. Turpen said that since 1979 or 1980 the Airport has followed a 
philosophy of not getting into long-term, exclusive rentals in the 
non-terminal areas in order to maintain flexibility for the future. 
Mr. Turpen said he understands American's concern but recognized that 
the rates need to be increased and felt that the proposal was fair. 

Commissioner Fleishell asked if there had been any discussion to give 
American a rental credit for doing work on the taxiway. 

Mr. Turpen responded that the decision was made by American, Japan 
Air Lines and Pan Am to construct a taxiway. 

Mr. Carmody said it was done to introduce 747 freight service to San 
Francisco. 

Mr. Turpen said he did not know why a rental credit was not applied 
for unless there was a prior agreement that the work was to be done 
at their sole expense. He felt that this work was done with the 
recognition of San Francisco's cargo potential. 



J. COMMUNICATIONS: 

There was no discussion by the Commission. 



K. TRAILING CALENDAR: 

There was no discussion of items on the Trailing Calendar, 



M. ADJOURNMENT TO GO INTO CLOSED SESSION: 

There being no further calendared business before the Commission the 
meeting adjourned at 3:09 p.m. to go into closed session. 





Jean Caramatti 
Commission Secretary 



Minutes, February 21, 1984, Page 16 



SAN FRANCISCO 
AIRPORTS COMMISSION 




DOCUMENTS DEPT. 

JUL 1 6 1984 

SAN FRANCISCO 
ptim \r> ■ mpAPv 



MINUTES 



Tuesday, March 6, 1984 



DIANNE FEINSTEIN, MAYOR 

COMMISSIONERS 

MORRIS BERNSTEIN 

President 

WILLIAM K. COBLENTZ 

Vice-President 

RUTH S. KADISH 

DR. Z.L GOOSBY 

J. EDWARD FLEISHELL 



LOUII A.TURPIN 

Director of Airports 



San Francisco International Airport 
San Francisco, California 94128 



Index 

of the 

Minutes 

Airports Commission 

March 6, 1984 Meeting 



Calendar 


Agenda 




Section 


Item 


Title 


A 




CALL TO ORDER 


B 




ROLL CALL 


C 




ANNOUNCEMENT BY SECRETARY 


D 




DIRECTOR'S REPORTS: 



Resolution 

Number Page 

3 

3 

3 



1 Shoeshine Service in Terminal 

Building Complex 3-4 

E ITEMS INITIATED BY COMMISSIONERS 4 

F POLICY REVIEW: 

2 Review of Economic Develop- 

ment Bond Policy 84-0043 5 

3 Review of Policies Adopted 

by the Commission at the 

meetings of February 7, and 

February 21, 1984, and during 

the period of May 4, 1983, 

through August 24, 1983 5 

G ITEMS RELATING TO ADMINISTRATION, 

OPERATIONS AND MAINTENANCE: 

4 Authorization to Bid: Princi- 

pal Concession Lease and 

Agreement-North Terminal "Hub" 

and Approval of Assignment: 

North Terminal Jewelry Shop 

Lease 84-0044 6-7 

5 Extension of Hotel/Motel 

Board Contract 84-0045 7 

6 Five-Year Extension of 

Hotel/Motel Advertising 

Service Agreement 7-11 

7 Professional Audit Services 

Contract-Morris, Davis & 

Company - $30,000 84-0046 11 

8 Supplemental Appropriation 

Authorizing Transfer of 
$1,895,000 in Over-Appro- 
priated Art Enrichment Funds 84-0047 11 



Minutes, March 6, 1984, Page 1 



Calendar Agenda Resolution 

Section Item Title Number Page 



9 Resolution Approving Contract 

Modification No. 1 to Contract 

1209-6 th Fir. Remodeling 

International Terminal-$27,200 84-0048 11 

10 Award of Contract 1414A,B- 

Boarding Area B Renovation, 
Boarding Area B South Conces- 
sion Area, to Trans Bay/ 
Lathrop Joint Venture, 
Emeryville, CA in the total 
amount of $11,854,500 11-12 

11 Award of Contract 1371; 

Reconstruct and Overlay 

Runway 1L-19R to McGuire 

and Hester, Oakland, CA 

in the total amount of 

$2,599,059.00 12 

H CONSENT CALENDAR OF ROUTINE 

ADMINISTRATIVE MATTERS: 

12 Approval of Sublease between 

Republic Airlines and DHL 

Airways, Inc. 12 

13 Resolution Approving Assign- 

ment of Contracts and Re- 
questing City Controller 
to Transfer Funds from 
Contract 1206 and 1410C-1 
to Contract 1410ABCD 12 

14 Bid Call Contract No. 1582- 

Replacement of Cable 12BANB-1 

(Sta. BA to M.H. PD-N009) 13 

15 Settlement of Litigated 

Claims Not Exceeding 

$2,500.00 13 

16 Official Travel-Captain Gary 

Dale, SFFD-National Fire 

Protection Association 

Annual Conference 13 

I TRAILING CALENDAR: 13 

J CLOSED SESSION " 13 

K ADJOURNMENT 13 



Minutes, March 6, 1984, Page 2 



Minutes 

of the 

Airports Commission 

March 6, 1984 



A. CALL TO ORDER: 

The regular meeting of the Airports Commission was called to order at 2:00 
P.M. in Room 282, City Hall, San Francisco, CA. 



B. ROLL CALL: 
Present: 



Commissioners Morris Bernstein, 
William K. Coblentz, Ruth S. Radish, 
Z. L. Goosby, J. Edward Fleishell. 



C. ANNOUNCEMENT BY SECRETARY: 



In accordance with the Brown Act, 
Section 54957.1, Jean Caramatti, 
Commission Secretary, announced 
unanimous adoption of Resolutions 
84-0041 and 84-0042 regarding 
settlements of litigated claims at the 
closed session of February 21, 1984. 



D. DIRECTORS REPORTS: 

1. Shoeshine Service in Terminal Building Complex 

Report proposing the conceptual 
approval of the proposed lease 
specifications for the North Terminal 
Shoeshine Lease, and of the proposed 
permit specifications for the 
International and South Terminal 
Shoeshine operation. 

Mr. Turpen said that the issue before the Commission is staffs 
proposal that the North Terminal concession be bid now but place the 
Central and South Terminal concessions on a permit until such time as 
Boarding Area A has been renovated. The South Terminal could then be 
bid on a longer term basis. He said it was not staff's intention to 
arbitrarily award the Central and South Terminal permits. He said it 
is Business and Finances' suggestion that a mini-bidding process be 
held without going through a lot of the administrative approvals 
required. Mr. Turpen recommended putting these concessions on 30-day 
permits due to the present uncertainty and development of the South 
Terminal program. 



Minutes, March 6, 1984, Page 3 



Commissioner Goosby asked why the South Terminal could not be on a 
month-to-month permit and put out to bid when the renovation has been 

compl eted . 

Angela Gittens, Deputy Director for Business and Finance, responded 
that staff was concerned that the Airport would not receive very good 
bids for the Central Terminal if it were bid alone. 

Commissioner Goosby said this unnecessarily complicates the situation. 

Ms. Gittens remarked that the Central and South Terminals are 
currently under one agreement. 

Mr. Turpen said that while it is a staff suggestion to keep the South 
and Central Terminal together on a permit, the Central Terminal could 
go out to bid if the Commission so desired. 

Commissioner Bernstein asked if the Central and South Terminals could 
be bid separately. 

Mr. Turpen responded that they could. He said that the question is 
whether or not the Central Terminal could be successfully bid by 
itself. 

Commissioner Bernstein asked how many stands there would be 
throughout the terminals. 

Mr. Turpen responded that there would be five in all: two in the 
North Terminal , one in the Central Terminal and two in the South 
Terminal . He said that the Central and North Terminals would be bid 
and the South will remain on permit. 



ITEMS INITIATED BY COMMISSIONERS: 

Commissioner Kadish said she was in possession of a letter from the Clerk 
of the Board of Supervisors about the smoking policy at the Airport. She 
said that she was not sure whether Supervisor Nelder was aware of the fact 
that there have been smoking and non-smoking areas in the Airport for the 
last six years. Commissioner Kadish suggested that Supervisor Nelder's 
question may be directed to the office structure. 

Mr. Turpen responded that Supervisor Nelder's question refers to offices. 
He explained that the language from the Board of Supervisor's ordinance 
will be incorporated into the Airport's Rules and Regulations to be 
presented to the Commission no later than the first meeting in April for 
review and adoption. 

Commissioner Kadish commented that the action should be spelled out. 



Minutes, March 6, 1984, Page 4 



POLICY REVIEW: 

The following item was unanimously adopted as amended: 

2. Review of Economic Development Bond Policy 

No. 84-0043 

Mr. Turpen recommended that the word "tenants" be deleted from the 
resolution. 

Commissioner Fleishell asked why the word "tenant" should be removed. 

Mr. Turpen responded that he was trying to broaden the Commission's 
option by not limiting it to tenants. 

3. Review of Policies Adopted by the Commission at the meetings of 
February 7 , and February 21, 1984, and during the period of May 4, 
1983, through August 24, 1983. 

Mr. Turpen said that the items before the Commission have been pulled 
from previous agendas and are being presented to the Commission in an 
attempt to update the Airport Commission's policy manual. 

Mr. Turpen recommended that the policy on operational and financial 
audits be amended to read "every two years" rather than "annually." 

Regarding the policy on consultants, Mr. Turpen recommended adding 
the wording "or sufficient in-house resources" be added. 

Mr. Turpen also recommended substituting the word "considered" for 
"awarded" on the contract policy. He felt that the word "considered" 
precluded staff from bringing an item before the Commission for 
discussion. 

Commissioner Kadish felt that the wording "until all documentation is 
complete" was not clear. 

Mr. Turpen responded that the resolution will be rewritten. 

Commissioner Kadish asked how these items would be put into a policy 
manual . 

Mr. Turpen responded that they will be put under the seven MBO 
headings. As for the physical method of being bound, that has not 
yet been determined. 

Commissioner Kadish said the format should already be established. 
The items should be placed in a loose-leaf binder as they are 
approved and each addition should be sent to the Commission. 

Mr. Turpen said a format will be put together. 



Minutes, March 6, 1984, Page 5 



ITEMS RELATING TO ADMINISTRATION, OPERATIONS AND MAINTENANCE: 

The following items were unanimously adopted: 

4. Authorization to Bid: Principal Concession Lease and Agreement - 
North Terminal "Hub" and Approval of Assignment: North Terminal 
Jewelry Shop Lease 

No. 84-0044 Resolution approving leasehold 

specification authorizing Director to 
bid North Terminal "Hub" Principal 
Concession Lease and Agreement, and 
approving of assignment of Jewelry 
Shop Lease into that bid. 

Ms. Gittens told the Commission that the Airport received an 
agreement from Dobbs indicating they would not bid on this item as 
well as an agreement to pay the Airport $20,000. 

Commissioner Bernstein asked Ms. Gittens if she was satisfied with 
the performance of the minority business programs. He said that 
minority businesses have 25 percent of the space and only do 8 or 
10 percent of the business. 

Ms. Gittens commented that the Airport has been able to get small 
minority/ women businesses without the Airport or the business 
suffering financial risk. 

Commissioner Bernstein said that this was an opportunity for small 
businesses and minority businesses to learn the retail business. If 
not run properly the business suffers, the Airport suffers and the 
passengers suffer. He asked if Property Management was satisfied 
with the performance. 

Ms. Gittens responded that they were not completely satisfied. 

Commissioner Goosby suggested meeting with Duty Free to discuss what 
can be done to upgrade the percentage of business done by 
minority/ women-owned businesses at the Airport. 

Commissioner Bernstein said you cannot sacrifice 25 percent of the 
space and only do 9 percent of the business. He suggested that they 
might have inferior space or are not merchandizing correctly. 
Commissioner Bernstein said that their merchandize should be examined 
to make sure that it is not inferior. 

Commissioner Goosby recommended that the Commission instruct staff to 
hold discussions with Duty Free. 

Mr. Turpen said Commissioner Bernstein raised an excellent point. He 
said that staff would be happy to meet with Duty Free and the 
concessionaires to at least ascertain whether it is a question- of 
maturity of the business or a problem with the way it is structured 
and report back to the Commission. 

Commissioner Goosby suggested taking a look at Pier 39. 



Minutes, March 6, 1984, Page 6 



Commissioner Kadish said that a good many of the concessions that are 
proposed in this item are part of those minority business enterprises 
in the Central Terminal that are in the low-yield program. She 
suggested finding out what the Art Poster Shop and American Dry Goods 
are yielding in the Central Terminal in order to avoid duplicating 
the situation there. 

Mr. Turpen said he would like the Commission's approval to proceed 
with this item and at the same time take a look at the operation in 
the Central Terminal for flaws. Staff will return to the Commission 
prior to making any commitments with respect to the North Terminal. 

Commissioner Bernstein was surprised that rental will be 20 percent 
when 6 percent was a lot for the downtown area. 

Items 5 and 6 were called together. Item 5 was unanimously adopted 
and Item 6 was put over. 

5. Extension of Hotel/Motel Board Contract 

No. 84-0045 Resolution authorizing ratification of 

one-month extension of hotel/motel 
board contract. 



6. Five-Year Extension of Hotel/Motel Advertising Service Agreement 

Resolution approving five-year 
extension of Hotel/Motel Advertising 
Service Agreement to Ackerley Airport 
Advertising, Inc. pursuant to revised 
rental and capital improvement 
programs. 

Mr. Turpen said that the Commission has the unilateral right to 
extend Ackerley' s contract. He said that staff was approached by 
another firm, Baciagalupi and Associates, and requested an 
opportunity to present their position in this matter. Ms. Gittens 
was responsible for evaluating the situation and making a 
recommendation to the Commission. 

Ms. Gittens said staff reviewed the proposal by Baciagalupi and 
Associates which basically indicated that over a 5-year period the 
Airport would receive $1 .850-million as opposed to the minimum 
guarantee of the Ackerley extension of $1.391-million. Ms. Gittens 
said that the proposal did not include a conceptual design or 
describe the service it would provide. 

Ms. Gittens said that based on the last 18 months it is anticipated 
that Ackerley would generate $1.7-million to the Airport as opposed 
to Baciagalupi's proposal of $1 .850-million. She recommended 
extending Ackerley' s agreement based on their past performance and 
the absence of a concrete proposal from Baciagalupi. 

Commissioner Bernstein said the amount of $1.7-million was only 
conjecture and the $1 ,85-million was not. 

Ms. Gittens said that the Baciagalupi figure was also conjectural. 
Although the letter indicated that they would guarantee that amount 
the letter is not binding. 



Minutes, March 6, 1984, Page 7 



Commissioner Kadish said that five years ago when presentations were 
made to the Commission there were concerns about the service to the 
passengers and the Airport. Commissioner Kadish said that at that 
time Hart and Johnson promised the Commission that in addition to the 
standard hotel/motel board they would provide public service 
advertising, namely, low-cost, non-profit organizations, hotels such 
as the YMCA and YWCA and youth hostels and none of that was 
forthcoming. 

Commissioner Kadish said that at the time she brought up the fact 
that the foreign language phones were essentially nonfunctional. She 
explained that a tape must be played through before it can go on to 
another language. Commissioner Kadish also said that Hart and 
Johnson promised to put up public service announcements about events 
going on in the City at public institutions, theaters, and museums 
and that has never been done. She explained that her concern is with 
how an agency performs. 

Commissioner Kadish also said that Hart and Johnson had promised that 
they would have a bi-fold with information containing a map of the 
area and transportation costs. 

Commissioner Kadish said she did not know what arrangements were made 
between Hart and Johnson and Acker ley at the time of the transfer 
but the Airport has not received what it was promised. She felt that 
the difference of $100,000 was significant if another proposal 
addressed these concerns. 

Ms. Gittens remarked that there was no service component to the 
alternative that was received. She explained that the proposal only 
addressed the $1.850-million and that Mr. Baciagalupi indicated that 
he would not be willing to explain his exact conceptual proposal 
until such time as there was a bid. 

Commissioner Kadish suggested that the item be put over in order to 
receive proposals as to the service component and the financial 
aspect. 

Mr. Turpen explained that the Commission has two choices: to award 
the contract extension; or, to direct staff to solicit bids on the 
proposal. He said that Ms. Gittens' recommendation was strictly 
based on the hotel/ motel board concept, the financial price and her 
evaluation of the options available to the Commission. He said that 
it is the Commission's perogative to broaden the service but at this 
point staff is focusing on the hotel/motel board service. 

Commissioner Goosby said that changes should be amended into the 
contract. 

Mr. Ken Gordon, Ackerley Airport Advertising, responded to some of 
Commissioner Radish's concerns. With reference to her comments on 
the youth hostel or any community service he responded that Ackerley 
would be happy to post such information as long as space was 
available. He said that Ackerley has never been contacted by any 
organization to perform a community service. 

Mr. Gordon explained that within the rules and regulations of their 
contract there are certain stipulations which they cannot go beyond. 
They are basically relegated to off-premise car rentals, hotels and 
motels within the immediate San Francisco downtown area and within 
the Peninsula area. Mr. Gordon said there is a small section 
entitled "Other Services" but up to this point Ackerley has not 
received direction from staff or the Commission as to its use. He 
explained that Ackerley has tried various approaches but found them 
to be prohibitive because of cost factors involved in advertising 
within the Airport . 



Minutes, March 6, 1984, Page 8 



With respect to providing ground transportation and rates Mr. Gordon 
said Acker ley just spent over $10,000 duplicating the large placards 
found in the terminals and have placed duplicates on the left-hand 
side of the board. He said that the Cory Duplicating Machine is now 
used at the Airport which offers the capability of upgrading the 
pricing and any new carrier at the Airport. He explained that this 
was virtually impossible with the old system. He said that everyone 
seemed to be satisfied with that performance factor. 

Mr. Gordon next addressed the foreign language problem. He explained 
that the system in the North Terminal was inherited and does not 
operate properly for the use it receives at the Airport. He said 
that there are only three courtesy phone centers that have this 
system and they are all in the North Terminal. He said that another 
system was installed in the South Terminal when the boards were 
renovated and in the Central Terminal. Mr. Gordon said that Ackerley 
has proposed a new form of addressing the international traveler and 
that this proposal was submitted to staff along with the renegotiated 
percentage for the next five years. He said that Ackerley has spent 
over $150,000 of their own money on new equipment in an attempt to 
upgrade services and make the Airport first-rate. 

Mr. Gordon asked for the five-year extension so that the costs 
could be amortized. 

Commissioner Bernstein remarked that Ms. Gittens said something about 
$1.7-million versus $1.8-million and asked Mr. Gordon for an 
explanation. 

Mr. Gordon responded that their figure was based on what they have 
been able to deliver in the three years since they have assumed the 
contract from Hart and Johnson. He said that Ackerley has increased 
revenues on this contract by 238 percent and renegotiated their 
position at the Airport on a revenue sharing basis going from 50 
percent to 65 percent. He explained that this was on an annual basis 
and did not take into account what the annual rate of increase will 
be for their advertisers. He explained that this depends on the 
services they are offering. Mr. Gordon said that some of their rate 
increases for one year may range anywhere from six to 10 percent. He 
said that the local businessman cannot continue to be gouged and they 
cannot operate on a fixed fee percentage. Business considerations 
must be taken into account as well as the economic times. Mr. Gordon 
said that the allowance this year has been decreased due to the hard 
economic times experienced by local businesses in 1983. 

Mr. Gordon said Ackerley could make up the $100,000 by selling out 
the rest of the board but that this is a hypothetical sell-out 
situation. He said that Ackerley is trying to be fair, they are 
trying to deliver a quality product and they are trying to deliver 
full service in the Airport. 

Commissioner Fleishell said that staff has done an investigation and 
found that the response has been less than enthusiastic for this 
other firm. He said that Ackerley has done the job and if 
Commissioner Kadish's concerns are to be addressed they should be 
amended into the contract and give Ackerley a five-year extension 
because they have earned it. Ackerley has moved the revenue up and 
agreed to up the percentage to 65 percent. He said that if the 
integrity of the bidding is as good as the Airport wants it to be yet 
the extension of a contract is in question, why give an option. 



Minutes, March 6, 1984, Page 9 



Commissioner Bernstein said the Airport is bound to award the 
contract to the best bidder for the most money. He said that 
everyone should be given a chance at this and he would hate to award 
it for a $1.2-million when the Airport could get $1.8-million. 

Mr. Gordon did not feel the gap was that wide. He asked if 
Commissioner Bernstein would like Ackereley to guarantee in writing 
$1.8-million versus $1 .7-million. Mr. Gordon said Ackerley has 
always lived up to their contracts and would guarantee it. 

Commissioner Bernstein said he thought Ackerley's performance has 
been excellent but this was a question of money. 

Commissioner Fleishell said that if the Airport could get a guarantee 
for that amount we should take it. 

Mr. Victor Baciagalupi, Baciagalupi and Associates, said their 
marketing approach is completely different from Ackerley's. He said 
that even though there has been a change of ownership the concession 
has not changed hands in over 10 years. He felt it was time to take 
a look at the competetive market and see what the true value of the 
concession really is. He explained that the $1.850-million is based 
on the present rate structure of the concessionaire and at 65 
percent. The difference between the two companies is in the method 
of doing business. 

Mr. Baciagalupi asked for an opportunity to present a proposal to the 
City and County of San Francisco. 

Commissioner Fleishell asked if Mr. Baciagalupi was prepared to 
guarantee in writing the $1.850-million annually. 

Mr. Baciagalupi responded that he would supply an irrevocable letter 
of credit to the staff supporting that amount. 

Commissioner Coblentz said he has not seen Ms. Gitten's report and he 
would like time to think about the testimony given today. He moved 
item 5 in order to have a continuation of services and put over item 
6 so that the Commission has the opportunity to review the issue. 

Commissioner Kadish asked for a request for proposals so that the 
Commission could examine the figure and service guarantees. 

Commissioner Goosby said it was not fair to ask these companies to 
spell out their intentions without a bid process. 

Mr. Turpen said that if the Commission wants to consider this then 
item 5 should be adopted and the contract extended for two months. 
If the Commission wants to re-bid the item then no further 
submissions should be requested and the item should go out to bid. 
He said that the extension will give the Commission time to discuss 
this among themselves and with staff. 

Commissioner Coblentz recommended the contract be extended for two 
months. He said he was not about to put this out for re-bid. 

Commissioner Bernstein agreed with Commissioner Coblentz. 

Commissioner Fleishell said that if you do not re-bid the contract 
you have no alternative but to extend it. 

Mr. Turpen agreed with Commissioner Fleishell. 

Mr. Turpen recommended acting on item 5 and putting item 6 over. 

Commissioner Fleishell said there should be a deadline of two weeks 
from today for submission of materials. 



Minutes, March 6, 1984, Page 10 



Commissioner Coblentz said that the extension was not to exceed two 
months. 



The following items were unamimously adopted. 

7. Professional Audit Services Contract - Morris, Davis & Company $30,000 

No. 84-0046 Resolution approving a professional 

services contract with Morris, Davis & 
Company to assist the Airport Internal 
Audit staff in examining the books and 
records of tenants and concessionaires. 

8. Supplemental Appropriation Authorizing Transfer of $1,895,000 in 
over-appropriated Art Enrichment Funds 

No. 84-0047 Resolution requesting a supplemental 

appropriation authorizing the transfer 
of $1,895,000 in over -appropriated art 
enrichment funds to fund other 
approved capital projects. 

9. Resolution Approving Contract Modification No. 1 to Contract 1209 - 
6th floor Remodeling International Terminal - $27,200 

No. 84-0048 Additional work to provide 1200 square 

feet of office space for Airport 
Accounting and Controller's Liasion 
Officer . 



The following item was put over to a Special Meeting on March 13, 1984 

10. Award of Contract 1414A,B-Boarding Area B Renovation, Boarding Area B 
South Concession Area, to Trans Bay/Lathrop Joint Venture, 
Emeryville, CA in the Total Amount of $11,854,500. 

Amount includes total Base Bid of 
$10,655,500 plus selected additive 
alternates totaling $1,189,000. 
Budget for the work is $13,750,000. 

Mr. Turpen recommended continuing the item pending the City 
Attorney's review of a protest. 

Jason Yuen asked the Commission to schedule a special meeting for the 
following week in order to award this contract rather than putting it 
over to the next regular meeting. He explained that this project is 
already slightly behind schedule due to the lengthy bidding period. 

Commissioner Coblentz said that the protest filed last Friday by 
Tutor-Sal iba has not been reviewed by the City Attorney and staff has 
not yet received a recommendation from the Human Rights Commission. 
He recommended that the Director set a date for the special meeting 
allowing enough time for counsel to review the protest. He said that 
arguments can be heard at that time. 

Mr. Stanley Lim, Human Rights Commission, asked Mr. Yuen if WSB 
Electric withdrew the bid. 

Mr. Yuen responded that they did. 



Minutes, March 6, 1984, Page 11 



Mr. Lim said that in that case the Human Rights Commission has no 
problem. 

Mr. Yuen said that the Human Rights Commission requested that the 
special meeting be held early next week. 

Commissioner Coblentz responded that the special meeting will be on 
Tuesday at 8:30 a.m. 



The following item was unanimously adopted by the Commission. The 
resolution was then rescinded and the item was put over to the special 
meeting of March 13. 

11. Award of Contract 1371; Reconstruct and Overlay Runway IL-19R to 

McGuire and Hester, Oakland, CA in the total amount of $2,599,059.00 

Award to second lowest bidder is 
recommended due to the failure of the 
lowest bidder to receive Human Rights 
Commission approval of the 
Minority/Women Business Enterprise 
Program. 

Mr. James Lowrie, Lowrie Paving Company, said it was his 
understanding, as a result of a discussion with the Human Rights 
Commission, that none of the three lowest bidders were approved for 
award of the contract. He explained that this item was placed on the 
agenda in anticipation that Human Rights Commission approval would be 
received. Mr. Lowrie said that Julie Yim of the Human Rights 
Commission was present and was to request that this item be put over 
for two weeks. 

Mr. Yuen said that Mr. Lowrie was right and asked that the item be 
put over . 

Commissioner Coblentz suggested the item be put on the special 
meeting calendar if Human Rights Commission approval can be received 
in time. 



H. CONSENT CALENDAR OF ROUTINE ADMINISTRATIVE MATTERS. 

The following items were unanimously adopted. 

12. Approval of Sublease between Republic Airlines and DHL Airways, Inc. 

No. 84-0049 Resolution approving sub-letting of a 

portion of Plot 11 to DHL Airways, 
Inc. by Republic Airlines. 



13. Resolution approving assignment of contracts and requesting City 
Controller to transfer funds from Contract 1206 and 1410C-1 to 
Contract 1410ABCD 

No. 84-0050 WOrk under Contracts 1206 (South 

Terminal Aircraft Apron Paving, Phase 
I) and 1410C-1 (Tunnels A&C Steel 
Panels) will be combined with Contract 
1410ABCD (South Terminal Renovation, 
Phase 1) as permitted by contract. 
Funds need to be combined 
accordingly. No change in total 
contract amount nor budget. 



Minutes, March 6, 1984, Page 12 



14. Bid Call: Contract No. 1581- 

Replacement of Cable 12BANB-1 (Sta. BA to M.H. PD-N009) 

No. 84-0051 Resolution approving the scope, 

budget, and schedule for Airport 
Contract No. 1581, replacement of 
cable 12BANB-1, (Sta. BA to M.H. 
PD-N009) and authorizing the Director 
of Airports to call for bids when 
ready. 

The purpose of this contract is to 
replace a section of defective cable. 
The cable serves field lighting 
circuits. 

Construction time is 210 calendar days. 

15. Settlement of Litigated Claims Not Exceeding $2,500.00 

No. 84-0052 Resolution approving settlement and 

compromise of claims by the Director 
of Airports, with the approval of the 
City Attorney, during the period July 
to December, 1983. Total of claims, 
$5,950.63. 

16. Official travel - Captain Gary Dale, SFFD - National Fire Protection 
Association Annual Conference. 

No. 84-0053 Resolution approving the travel of 

Captain Gary Dale, San Francisco Fire 
Department, San Francisco 
International Airport, as Airport 
representative to the National Fire 
Protection Association Annual Meeting 
and Fire Safety Exhibit on May 21-24, 
1984, in New Orleans, Louisiana. 



I TRAILING CALENDAR: 

There was no discussion of trailing calendar items. 

* * * 

K ADJOURNMENT TO GO INTO CLOSED SESSION: 

There being no further calendared business before the Commission the 
meeting adjourned at 3:05 p.m. to go into closed session. 




CjU^^-TC^W 



ean Caramatti 
Commission Secretary 



Minutes, March 6, 1984, Page 13 



SAN FRANCISCO 
AIRPORTS COMMISSION 




-FOMENTS D£P7 

JUL 1 6 1984 

FRANCISCO 



^ADV 



MINUTES 



Tuesday, March 13, 1984 
Special Meeting 



DIANNE FEINSTEIN, MAYOR 

COMMISSIONERS 

MORRIS BERNSTEIN 

President 

WILLIAM K. COBLENTZ 

Vice-President 

RUTH S. KADISH 

DR. Z.L. GOOSBY 

J. EDWARD FLEISHELL 

LOUIS A.TURPIN 
Director of Airports 

San Francisco International Airport 
San Francisco, California 94128 



AIRPORTS COMMISSION 

MINUTES OF SPECIAL MEETING 

MARCH 13, 1984 



INDEX 



Calendar Agenda Resolution 

Section Item Title Number 

A CALL TO ORDER 2 

B ROLL CALL 2 



AGENDA ITEMS INVOLVING ADMINIS- 
TRATION, OPERATIONS AND MAINTENANCE: 



1. Award of Contract 1414A,B-Boarding 
Area B South Concession Area, to 
Trans/Bay Lathrop Joint Venture, 
Emeryville, CA in the total amount 

of $11,854,500 84-0054 2 

2. Award of Contract 1371; Reconstruct 
and Overlay Runway 1L-19R to McGuire 
and Hester, Oakland, CA in the total 

amount of $2,599,059.00 84-0055 2-5 



ITEMS INITIATED BY COMMISSIONERS 
ADJOURNMENT TO GO INTO CLOSED SESSION 



Minutes, March 13, 1984, Page 1 



AIRPORTS COMMISSION 

MINUTES 

MARCH 13. 1984 

SPECIAL MEETING 



ORDER OF BUSINESS 



A. CALL TO ORDER: 

The special meeting of the Airports Commission was called to order at 8:36 
a.m. in Room 2B, City Hall, San Francisco, California. 



B. ROLL CALL: 



Present: Commissioners Morris Bernstein, 

William K. Coblentz, Ruth S. Kadish, 
Z. L. Goosby, J. Edward Fleishell 



C. AGENDA ITEMS INVOLVING ADMINISTRATION, OPERATIONS AND MAINTENANCE: 

The following items were unanimously adopted: 

1. Award of Contract 1414A,B - Boarding Area B Renovation, Boarding Area 
B South Concession Area, to Trans/Bay Lathrop Joint Venture, 
Emeryville, CA in the total amount of $11,854,500 

No. 84-0054 

Mr. Jason Yuen, Acting Airport Director, said that the Human Rights 
Commission has indicated that the contract can be awarded to Lathrop. 

Commissioner Coblentz said that page two of the resolution reads: 
"...the proposal submitted by Lathrop is totally responsive." He 
asked that the word, "totally" be removed. 



2. Award of Contract 1371; Reconstruct and Overlay Runway 1L-19R to 

McGuire and Hester, Oakland, Ca in the total amount of $2,599, 05"9~700 

No. 84-0055 

Commissioner Coblentz said that Mr. Dennis Rice would like to address 
the Commission. He said that he was in possession of Mr. Rice's 
letter and did not want to go into the issue of ethnic origin. He 
said that this was an issue to be decided by the Human Rights 
Commission. He asked if the Human Rights Commission has seen the 
appeal. 



Minutes, March 13, 1984, Page 2 



Ms. Pansy Waller, representative of the Human Rights Commission, 
responded that she just received the letter. 

Mr. Rice commented that the reason for the delay was because his 
client was not contacted until late Friday, and he was not contacted 

until Saturday. 

Commissioner Coblentz suggested that the matter be put over. He 
asked if there is a time constraint. 

Mr. Yuen responded that there would be a problem. He explained that 
the contract has a time limit for award and explained that there are 
four or five days left before the contract would have to be re-bid. 
Mr. Yuen further explained that if this award was not made and the 
contract had to be re-bid they would miss the summer season. He 
asked the Commission to consider awarding the contract and have Mr. 
Rice appeal to the Human Rights Commission. 

Mr. Rice responded that under the rules there are 60 days in which 
to make a determination on MBE and WBE compliance. He said that the 
60 days began on January 27. 

Mr. Rice said his clients would not want to be put in a position of 
appealing an awarded contract. He felt that they should have the 
opportunity to review the facts with the Commission and with staff 
before the award. He asked to be allowed to make the modifications 
to the form and bring the contract into compliance, as has been done 
in the past. 

Commissioner Coblentz asked how soon Mr. Rice could meet with the 
Human Rights Commission. 

Mr. Rice responded this week. 

Commissioner Coblentz told Mr. Rice that he should meet with the 
Human Rights Commission either today or tomorrow. 

Ms. Pansy Waller said that Hoyt Kelly failed to meet the guidelines 
used by the Human Rights Commission to certify a minority business. 
She said that their recommendation to award the contract to the 
second bidder would not change. 

Commissioner Coblentz asked Ms. Waller how she could be so sure that 
the recommendation would remain the same since she had not had the 
time to read the letter. 

Ms. Waller responded that the Human Rights Commission had recommended 
award to the second lowest bidder. The apparent low bidder had not 
met the goal. She felt that even in the event that Hoyt Kelly is 
certified the goal is still far from what it should have been. 

Commissioner Kadish asked if this recommendation is a staff or 
Commission decision. 

Mr. Waller responded that the Director and staff make the 
recommendation . 

Commissioner Coblentz said that since the Director and staff of the 
Human Rights Commission have not had the opportunity to review this 
letter he recommended that Mr. Rice review the letter with them 
either today or tomorrow. 

Commissioner Coblentz moved award of the contract to the second 
lowest bidder. If the issue is resolved after the meeting then the 
contract will be awarded to Ghilotti. 



Minutes, March 13, 1984, Page 3 



Mr. Rice said they can work out the differences in percentages but 
the concern is the sub-hauler, who is black, is also being used by 
the second low bidder. He said his client should be allowed to 
include that sub-hauler in their bid. 

Mr. Jim Woods, Acting Airports General Counsel, said that if the 9 
percent was in excess of one-half of one percent of the total 
contract, then it could not be used. 

Mr. Yuen said that it was. 

Mr. Rice said that the trucking company was not a subcontractor. 

Mr. Woods asked how the trucking company was not a subcontractor. 

Commissioner Coblentz said this was something the Airports Commission 
was not capable of hearing. He once again requested that Mr. Rice 
meet with the Human Rights Commission. He said that if the issue can 
be resolved then the contract will be awarded to Ghilotti, if not, 
then the award will remain with McGuire-Hester , the second lowest 
bidder . 

Mr. Rice said he would like to work this out before a decision is 
made. He does not want the Human Rights Commission in the position 
of defending their recommendation. 

Commissioner Fleishell asked if the Commission placed itself in a 
legal predicament by awarding the contract in this manner. 

Mr. Woods responded that there is no award until all charter steps 
are taken (HRC approval and certification by the Controller.) He 
said that as long as there appears a condition precedent to the award 
that the low bidder is not approved by the Human Rights Commission 
the award is made to the second low bidder. 

Commissioner Coblentz then suggested that the award be made to 
Ghilotti, the low bidder, subject to approval of the Human Rights 
Commission. 

Ms. Julie Yim, Human Rights Commission, said that would be going 
against the Human Rights Commission's recommendation. 

Commissioner Coblentz disagreed saying that the Human Rights 
Commission has not yet had the opportunity to review the letter and 
therefore did not have all of the facts. 

Commissioner Fleishell said that the resolution should also stipulate 
that written approval must be received by 5:00 p.m., Friday, March 
16, 1984. 

Commissioner Goosby asked how much time is alotted from the time a 
contract goes out to bid until it is awarded. 

Mr. Yuen responded that it was 60 days. He explained that the Human 
Rights Commission attends the bid opening and works with the three 
lowest bidders to submit the documents. 

Ms. Julie Yim responded that it is more like 10 days between the time 
the bid is open and comes before the Commission for award. She said 
that on smaller contracts it is often less than 10 days. 



Minutes, March 13, 1984, Page 4 



Mr. Yuen said that 60 days is the maximum amount of time to award the 
contract. Staff usually brings awards before the Commission at the 
next Commission meeting . 

Commissioner Goosby said that that time frame might not be realistic 
and perhaps more time should be given the Human Rights Commission for 
their recommendation. He said that the Human Rights Commission 
performs important function to the Airport, to the Commission and to 
the City. 

Mr. Rice endorsed the longer time-frame arguing that if they received 
a negative ruling at the Human Rights Commission staff level they 
could go before the Commission. Under the current situation the 
award would be made while they were still seeking recourse. 

Commissioner Kadish said that the 10 days that we have been operating 
on was a mutual arrangement between the Airport staff and Human 
Rights Commission staff. She said that the Airports Commission 
recognizes the problems to be faced in the Human Rights Commission 
not fulfilling the time schedule. She was surprised that they have 
not requested an extension and commended Commissioner Goosby for 
bringing it up. 



D. ITEMS INITIATED BY COMMISSIONERS: 

There was no discussion by the Commission. 



F. ADJOURNMENT TO GO INTO CLOSED SESSION: 

There being no further calendered business before the Commission, the 
meeting adjourned at 8:55 a.m. to go into closed session. 



Jean Caramatti 
Commission Secretary 



Minutes, March 13, 1984, Page 5 



SAN FRANCISCO 
AIRPORTS COMMISSION 




DOCUMENTS D EPTt 
JUL 1 6 1984 

SAN FRANCISCO 



MINUTES 



Tuesday, March 20, 1984 



DIANNE FEINSTEIN, MAYOR 

COMMISSIONERS 

MORRIS BERNSTEIN 

President 

WILLIAM K. COBLENTZ 

Vice-President 

RUTH S. KADISH 

DR. Z.L GOOSBY 

J. EDWARD FLEISHELL 



LOUI8 A.TURPIN 

Director of Airports 

San Francisco International Airport 
San Francisco, California 94128 



INDEX 

OF THE MINUTES 

AIRPORTS COMMISSION 

March 20, 1984 



Calendar 
Section 


Agenda 
Item 


Title 


Resolution 
Number 


Page 


A 




CALL TO ORDER 




3 


B 




ROLL CALL 




3 


C 




ADOPTION OF MINUTES: 










Regular Meeting of December 6, 1983 


84-0056 


3 


D 




SPECIAL ITEM: 








1 


Retirement-Wesley E. Curtis 


84-0057 


3 


E 




DIRECTOR'S REPORT: 








2 


Preventative Maintenance Program 




3-4 


F 




ITEMS INITIATED BY COMMISSIONERS 




4-7 


G 




POLICY REVIEW: 








3 


Review and Approval of Policies: 
Consultants, PCB Transformers, 
Concession Audits, Medical Clinic, 
Data Processing, Contract Awards 


84-0059 
84-0060 
84-0061 
84-0062 
84-0063 
84-0064 


7 



ITEMS RELATING TO ADMINISTRATION, 
OPERATIONS AND MAINTENANCE: 



Authorization to Bid: 

Shoeshine Operation in each 

Terminal Building 84-0065 

Approval of Amendment No. 11 to 
Gensler and Associates Profes- 
sional Services Agreement for 
Increased Scope of Work $290,000 84-0066 

Approval of Amendment No. 1 to the 
South Terminal Architect's Pro- 
fessional Services Agreement for 
Adjustment of Scope of Work and 
Budget for Project Representation 84-0067 

Shuttle Bus Service Agreement 

No. 68252, Modification No. 1 84-0068 

Bid Call: Airport Contract 

No. 1521R Garage Signing- 

Electronic Display Units 84-0069 



Minutes, March 20, 1984, Page 1 



Calendar Agenda Resolution 

Section Item Title Number Page 

9 Bid Call: Airport Contracts 

1535R-Reroofing of Engineering 

Building & 1536R-Lower Roof 

Replacement of Maintenance 

Building 84-0070 9 

10 Proposed Airport Student 

Internship Program 84-0058 4-5 

I CONSENT CALENDAR OF ROUTINE 

ADMINISTRATIVE MATTERS: 

11 Tenant Improvement: TWA Service 
Area Plot 3 Replacement of Fuel 
Storage Tank T-2845-$65,000 

No Rental Credit 84-0071 9 

12 Statistical Adjustments for 
1983-84 Joint Use Billings 
Under New Lease and Use 

Agreement 84-0072 9 

13 Cerand Contract-Extension of 

Term 84-0073 9 

14 Modification No. 1 and Com- 
pletion of Airport Contract 

No. 1338-Silt Removal, 1983 84-0074 10 

15 Award of Airport Contract 

No. 1524-Replacement of 8- inch 

Sewage Force Main at Sewage 

Pump Station No. 5 84-0075 10 

J COMMUNICATIONS 10 

K TRAILING CALENDAR 10 

M ADJOURNMENT TO GO INTO CLOSED SESSION 10 



Minutes, March 20, 1984, Page 2 



MINUTES 

OF THE 

AIRPORTS COMMISSION 

March 20, 1984 

A. CALL TO ORDER: 

The regular meeting of the Airports Commission was called to order at 
2:00 p.m. in Room 282, City Hall, San Francisco, Ca. 



B. ROLL CALL: 

Present: Commissioners William K. Coblentz, 

Ruth S. Kadish, Z. L. Goosby, J. 
Edward Fleishell 

Absent: Commissioner Morris Bernstein 



ADOPTION OF MINUTES: 

The minutes of the regular meeting of December 6, 1983 were adopted by 
order of the Commission Vice President. 

No. 84-0056 



D. SPECIAL ITEM: 

1. Retirement of Wesley E. Curtis 

No. 84-0057 Retirement of Wesley E. Curtis, 

Station Manager for Delta Air Lines, 
on April 1, 1984. 

Mr. Jason Yuen, Acting Director of Airports, said Mr. Curtis has been the 
station manager at Delta since the airline began service at SFO. He asked 
the Commission to join him in extending best wishes to Mr. Curtis. 

Commissioner Coblentz said the Commission enthusiastically endorses the 
resolution. 



E. DIRECTOR'S REPORTS: 

2. Preventative Maintenance Program 



Quarterly report outlining progress on 
in-house take-over of Airports 
Preventative Maintenance Program. 



Minutes, March 20, 1984, Page 3 



Mr. Yuen asked Dennis Bouey, Deputy Director of Facilities, Operations and 
Maintenance, to brief the Commission. 

Mr. Bouey told the Commission that staff has negotiated a software lease 
with Crothall. He said that Crothall's attorneys were reviewing the lease 
and it will then go to the City Attorney's office. Mr. Bouey said that 
the only problem they have encountered up to this point was in getting it 
through the Icepick Committee (the EDP Committee that approves all hardware 

requests). He said that although it took three meetings to get it 
through they are still on track and have no problems. 

Commissioner Goosby said he was pleased that it was moving along. 



F. ITEMS INITIATED BY COMMISSIONERS: 

Commissioner Goosby commended Clemente Obregon of the Human Rights 
Commission on his report on the Airport's minor ity/ women hiring. He asked 
what the Airport's responsibilities were and if we were meeting all 
administrative regulations and ordinances and if there was anything we 
should be doing in the way of corrective action or to further implement 
the program. He suggested that Mr. Obregon might want to make some 
recommendations . 

Mr. Yuen said that Don Garibaldi and staff will work with the Human Rights 
Commission. He reminded the Commission that the Airport is the leading 
department in affirmative action. 

Commissioner Kadish added that this was the only Commission to be lauded 
by the Human Rights Commission for its hiring program and contracting 
program. 



H. ITEMS RELATING TO ADMINISTRATION, OPERATIONS AND MAINTENANCE: 

The following item was called out of order and unanimously adopted. 

10. Proposed Airport Student Internship Program 

No. 84-0058 Resolution for approval of a one-year 

pilot student internship program to be 
sponsored by the San Francisco 
International Airport, San Mateo 
County Industry Education Council and 
San Mateo Union High School District. 

Mr. Yuen explained that this is a proposed one-year pilot program for high 
school interns to work at the Airport. He said that the program will be 
beneficial to both the students and the Airport and will help improve 
relations with the neighboring communities. 

Mr. Yuen told the Commission that Mayor Feinstein had given her approval 
and he recommended its adoption. 



Minutes, March 20, 1984, Page 4 



Mr. Yuen said a number of speakers wanted to address the Commission. 

Mr. Ron Wilson, Director of Community Affairs, told the Commission that 
this program started about a year ago when the San Mateo Union High School 
District, Capuchino High School particularly, approached the Airport 
through the San Mateo County Industry Education Council with the idea of a 
student intern program. He said that the Airport thought this was a good 
idea. Mr. Wilson told the Commission that Mayor Feinstein wanted to 
include the San Francisco unified School District on a 50-50 basis. 

Mr. Wilson explained that this program would be on a non-paying basis. He 
said that if the one-year trial proves to be successful the program can be 
expanded to more schools. 

Mr. Wilson said Dr. Carol Choy of the San Francisco Unified School 
District was present as well as representatives from the San Mateo County 
School District, Congressman Lantos' office, Senator Foran's office and 
Assemblyman Papan's office and some of them would like to address the 
Commission . 

Commissioner Goosby commented that this is something that some members of 
the Commission have wanted for a number of years. He said that the 
Community College has a campus at the Airport with a major in aircraft 
maintenance and he is amazed that they have not made the effort to try for 
a more meaningful relationship with the Airport. Commissioner Goosby said 
that the Commission along with the Mayor wanted San Francisco students 
involved in this program. He hoped that there would be a fair racial 
representation of the schools involved. 

Commissioner Kadish asked that the Commission be informed through 
bi-monthly reports as to how the program is developing and what the 
results are. 

Mr. Wilson introduced Ms. Tina Natara, student body President of Capuchino 
High School. 

Ms. Natara, on behalf of the administration, staff and student body of 
Capuchino High School, presented the Commission with a letter of 
appreciation and thanked the Commission for their approval of the 
internship program. 

Dr. Carol Choy, San Francisco Unified School District, said that on behalf 
of Mayor Feinstein, Dr. Alioto, the staff and students of the San 
Francisco Unified School District they are delighted to be able to 
participate equally in this program. She said she looked forward to 
reporting back to the Commission about the program's progress. 

Mr. Samuel Johnson, Jr., Principal of Capuchino High School, assured the 
Commission that the racial mix will be given a close look. He thanked Ron 
Wilson and Sandra Crumpler for their untiring efforts in putting this 
project together. He assured the Commission that the bi-monthly reports 
would be sent and thanked them for their approval. 

Commissioner Coblentz said this was an admirable project and wished them 
success. 



F. ITEMS INITIATED BY COMMISSIONERS: 

Commissioner Fleishell said it was his understanding that the design of 
the Airport's informational brochure was to be handled through a 
professional services contract and the printing would be handled through 
the Purchaser but found that the design was also sent to the Purchaser for 
bid. 



Minutes, March 20, 1984, Page 5 



Mr. Yuen said that Commissioner Fleishell was right and that the Airport 
could use a professional services contract for the design but the printing 
was the responsibility of the Purchaser. 

Mr. Ron Wilson said that he selected three firms that he thought would be 
appropriate to work with the Airport on the design. He then selected the 
lowest of the three firms and sent it to the City Purchaser for a request 
for purchase order but was told by the Purchaser that he was performing 
beyond the scope of his duties and that of the Airport. He was told that 
it was the Purchaser's responsibility to bid these contract. 

Mr. Wilson said that there was a lot of minority interest in this job — 
13 contractors bid through the Purchaser's office and more than half were 
minorities. He said that the lowest and second lowest bidders were 
minorities and recommended the second lowest bidder. 



Commissioner Fleishell said that as recently as the opening of the Central 
Terminal the Airport went through a printing job which was not bid by the 
Purchaser. He said he could not understand why the procedure has suddenly 
changed. 

Mr. Don Garibaldi, Airports General Counsel, arrived at the meeting at 
this point and told the Commission that he had just met with the Purchaser 
and his chief deputy and they both agreed that this should have been a 
professional services contract and should have been handled by the Airport 
and not bid through the Purchaser. 

Commissioner Kadish questioned Mr. Wilson's action in choosing one of the 
three bidders for the design. She said that the procedure followed on 
professional services contract is not price alone but quality of work. 
She said that the Commission had requested that the design come back to 
them before going ahead but this was not done. 

Mr. Wilson explained that he may have misunderstood the Commission's 
intent. He said that he thought the Commission wanted him to select a 
designer, do the design work and before the document was printed it was to 
be presented to the Commission for approval. 

Commissioner Kadish said that the bidders should have given some 
indication as to the quality of their work and the calibre of what they 
were proposing. 

Mr. Wilson explained that he thought the Commission wanted the actual 
product brought back so that they could modify and/or approve it; he did 
not realize that the Commission wanted the names of the contractors. 

Mr. Wilson said the project has gone out to bid but he did not think that 
it has gotten very far in the process and thought that the contractor 
along with the designer and his qualifications could be brought before the 
Commission for approval. 

Mr. Yuen asked if the contract had been awarded by the Purchaser. 

Mr. Wilson responded that to his knowledge it has not been awarded. 

Mr. Yuen recommended starting from scratch. 

Commissioner Fleishell said it was his understanding that the Director has 
the authority to spend up to $15,000 without coming before the 
Commission. He felt that staff could put something together that would be 
reasonably acceptable to all members. 



Minutes, March 20, 1984, Page 6 



Commissioner Kadish said the Commission never asked for the names of the 
contractors. She said that the Commission decided to model the brochure 
after the Los Angeles brochure. Staff was to make use of the design 
developed for the opening of the Central Terminal. Prior to the 
completion of the brochure it would be brought to the Commission for 
approval . 

Mr. Wilson said that that was his understanding. He said that there was a 
time constraint and would rather not start from scratch. He proposed that 
staff bring to the Commission a concept lay-out of the brochure for 
approval within the next four weeks. He recommended letting the 
contractor chosen by the Purchaser do the work. He said it was a $5,500 
contract. 

Mr. Yuen asked if this job could be divided into two contracts - one for 
design and one for print. 

Mr. Wilson responded that it already is in two contracts. 

Mr. Yuen asked that the design be brought back to the Commission before it 
goes to printing. 

Mr. Wilson responded that that was his intention all along. 

Commissioner Fleishell asked if the contract on design was camera-ready 
art. 

Mr. Wilson responded that it was. ' 

* * * 

G. POLICY REVIEW: 

The following items were unanimously adopted as amended. 

3. Review and Approval of Policies: Consultants, PCB Transformers, 
Concession Audit, Medical Clinic, Data Processing, Contract Awards. 

No. 84-0059 
84-0060 
84-0061 
84-0062 
84-0063 
84-0064 

Commissioner Kadish asked that "San Francisco International Airport" be 
put in after "PCB transformers." 

Mr. Yuen told the Commission that the Airport is the first department in 
the City to remove PCB transformers. 

Mr. Yuen cautioned the Commission on the contract awards resolution saying 
that if the resolution is rigidly enforced there may be a problem with 
construction contracts under certain circumstances. 

Commissioner Coblentz recommended inserting the phrase "in most 
circumstances." 

Regarding the Data Processing resolution Mr. Yuen said that the day-to-day 
work can be done in-house however there may be short term needs requiring 
outside help. 



Minutes, March 20, 1984, Page 7 



H. ITEMS RELATING TO ADMINISTRATION, OPERATIONS AND MAINTENANCE: 
The following items were unanimously adopted. 

4. Authorization to Bid: 

Shoeshine Operation in each Terminal Building 

No. 84-0065 Resolution approving leasehold 

specifications for Shoeshine 
Operations in the North and 
International Terminals and permit 
specifications for the South Terminal, 
and authorizing the Director to bid 
both the leases and the permit. 

5. Approval of Amendment No. 11 to Gensler and Associates Professional 
Services Agreement for Increased Scope of Work and Budget for Project 
Representation 

No. 84-0066 

Commission Kadish said that one item includes "payment for the design, 
logo and theme for the International Terminal grand opening." She said 
that $40,000 was authorized by the Commission for another logo and theme. 
She said there were two such designs and asked why there is now a third. 

Mr. Yuen said he could brief the Commission now. 

Commissioner Kadish asked for the information in writing. 

6. Approval of Amendment No. 1 to the South Terminal Architect's 
Professional Services Agreement for Adjustment of Scope of Work and 
Budget for Project Representation. 

No. 84-0067 Anshen & Allen $45,970 increase 

ED-2 $ 4,000 increase 
Esherick, Homsey, 

Dodge & Davis $142,900 increase 
Gensler & Assocs. ($ 40,000) decrease 
Ger son/Over street $ 20,000 increase 
Group 4/ Architec- 
ture ($ 10,000) decrease 
Marquis/Wong & 

Brocchini $140,265 increase 

Commissioner Goosby asked if the total amount remained the same and the 
money was just being moved around. 

Mr. Yuen replied that it did. 

7. Shuttle Bus Service Agreement No. 68252, Modification No. 1 

No. 84-0068 Resolution approving an increase in 

SFO Shuttle Bus Service rate, 
reflecting wage agreements effective 
January 1, 1984, and payment of such 
increases, retroactive from January 1, 
1984 through February 29, 1984. 



Minutes, March 20, 1984, Page 8 



Bid Call: Airport Contract No. 1521R 
Garage Signing - Electronic Display Units 

No. 84-0069 Resolution approving the revised 

scope, budget, and schedule for 
Contract No. 1521R and authorizing the 
Director of Airports to call for bids 
when ready. 

The work for this contract consists of 
furnishing and installing remote 
control single face electronic display 
message units throughout the Garage. 

Contract time 100 calendar days. 



9. Bid Call: Airport Contracts 

1535R-Reroofing of Engineering Building 

1536R-Lower Roof Replacement of Maintenance Building 

No. 84-0070 Resolution approving the revised 

scope, budget and schedule for 
Contracts #1535R and 1536R and 
authorizing the Director of Airports 
to call for bids when ready. 

The work for the contracts listed 
above consists of furnishing and 
installing new roofing and/or patching 
and repairing of existing roofs. 

Contract time for each of the 
contracts is 60 calendar days. 



I. CONSENT CALENDAR OF ROUTINE ADMINISTRATIVE MATTERS: 
The following items were unanimously adopted. 

11. Tenant Improvement: TWA Service Area Plot 3 
Replacement of Fuel Storage Tank 

T-2845 - $65,000 - No Rental Credit 

No. 84-0071 Resolution approving the plans and 

specifications for the replacement of 
fuel storage underground tank. 

12. Statistical Adjustments for 1983-84 Joint Use Billings Under New 
Lease and Use Agreement 

No. 84-0072 Resolution adjusting 1983-84 Joint Use 

Billings pursuant to Section 101 .W of 
the new Airlines-Airport Lease and Use 
Agreement for Braniff Airways. 

13. Cerand Contract - Extension of Term 

No. 84-0073 Resolution to modify contract between 

City and Cerand & Company, extending 
term of contract to December 31, 1984. 



Minutes, March 20, 1984, Page 9 



14. Modification No. 1 and Completion of Airport Contract No. 1338 - Silt 
Removal, 1983 

No. 84-0074 Resolution accepting the work under 

Airport Contract No. 1338, Silt 
Removal, 1983, as satisfactorily 
completed; extending the completion 
from January 5, 1984 to January 17, 
1984, approving and requesting the 
Controller's certification of 
Modification No. 1; and approving 
final payment of $16,939.90 in favor 
of the Contractor, CAL Equipment . 

15. Award of Airport Contract No. 1524 

Replacement of 8-Inch Sewage Force Main at Sewage Pump Station No. 5 

No. 84-0075 Resolution awarding Contract No. 1524 

to Stacy and Witbeck inc., P.O. Box 
11641, San Francisco, CA 94101-7642, 
in the amount of $188,035.00. Fifteen 
bids were received on March 1, 1984. 
Construction time is 100 calendar days, 



J. COMMUNICATIONS: 

There was no discussion by the Commission 

* * * 

K. TRAILING CALENDAR: 

There was no discussion of trailing calendar items. 



M. ADJOURNMENT TO GO INTO CLOSED SESSION: 

There being no further calendared business before the Commission the 
meeting was adjourned at 2:26 p.m. to go into closed session. 




LJ-JUSL /iLjjbLh 



ean Caramatti 
ommission Secretary 



Minutes, March 20, 1984, Page 10 



SAN FRANCISCO 
AIRPORTS COMMISSION 




MINUTES 



5 APRIL 3, 1984 



DOCUMENTS DEPT. 
OCT 1 9 1984 

SAN FRANCISCO 
ptim tr • IRRARY 



DIANNE FEINSTEIN, MAYOR 

COMMISSIONERS 

MORRIS BERNSTEIN 

President 

WILLIAM K. COBLENTZ 

Vice-President 

RUTH S. KADISH 

DR. Z.L. GOOSBY 

J. EDWARD FLEISHELL 



LOUIS A.TURPIN 
Director of Airports 



San Francisco International Airport 
San Francisco, California 94128 



Index 

of the Minutes 

Airports Commission 

April 3, 1984 



Calendar 


Agenda 


Section 


Item 


A. 




B. 




C. 




D. 




E. 





F. 



G. 



Resolution 
Title Number 

CALL TO ORDER: 

ROLL CALL: 

ADOPTION OF MINUTES: 84-0076 

ITEMS INITIATED BY COMMISSIONERS: 

POLICY: 

Policy - Religious Activities 

POLICY REVIEW: 

Review of Policies Adopted by 
the Commission during the 
period of January through 
April, 1983 

ITEMS RELATING TO ADMINISTRATION, 
OPERATIONS AND MAINTENANCE: 

Resolutions Pertaining to Hotel/ 

Motel Advertising Service 84-0077 

Professional Services Contract 

with San Mateo County 84-0078 

Modification No. 6 to Profes- 
sional Services Agreement 
with Morrison and Foerster 84-0079 

Final Modification and Close- 
out of Contract 1200B{3) 
Boarding Area D-$215,507. 15 84-0080 



Page 
3 
3 
3 
3 

4-8 



8-9 



9-10 



10 



H. 



CONSENT CALENDAR OF ROUTINE 
ADMINISTRATIVE MATTERS: 

Approval of Sublease between 
American Airlines, Inc. and 
International Total Services 
Inc. 

Statistical Adjustments 1983-84 
Joint Use Billings under New 
Lease & Use Agreement 



84-0081 



84-0082 



10 



10 



Minutes, April 3, 1984, Page 1 



Calendar 
Section 



Agenda 
Item 



Title 



Resolution 

Number 



Page 



I. 
J. 
L. 



9. Bid Call: Contract No. 1591 
Pavement Overlay of VIP 
Loading Area 84-0083 

10. Bid Call: Contract No. 1592 

Pavement Construction of 

Taxiway R at Plot 12 84-0084 

11. Award of Contract No. 1582 

Replacement of Cable 
12BANB-1 (Sta. BA to 
MH PDN009)-$83,535.00 

12. Completion of Professional 

Service Agreement 

Mcintosh Laboratories 84-0085 

13. Modification No. 3 to Pro- 

fessional Services Agree- 
ment-Associated Geotechnical 
Engineers 84-0086 

14. Declaration of Emergencies 

Airfield Power Cable and 

Power Cable Serving 

Western Airlines 84-0087 

15. Los Angeles International 

Airport's Crash and Mass 

Casualty Exercise 

April 25, 1984 84-0088 

COMMUNICATIONS: 

TRAILING CALENDAR: 

ADJOURNMENT TO GO INTO CLOSED SESSION: 



11 



11 



11-14 



14 



14 

15 

15 
15 
15 
15 



Minutes, April 3, 1984, Page 2 



Minutes 

of the 

Airports Commission 

April 3, 1984 



CALL TO ORDER: 

The regular meeting of the Airports Commission was called to order at 2:03 
PM, in Room 282, City Hall, San Francisco, CA. 



B. ROLL CALL: 

Present: Commissioners Morris Bernstein, 

William K. Coblentz, Ruth S. Kadish, 
Z. L. Goosby, J. Edward Fleishell. 



ADOPTION OF MINUTES: 

The minutes of the regular meeting of the Airports Commission were adopted 
by order of the Commission President. 

No. 84-0076 



ITEMS INITIATED BY COMMISSIONERS: 

Commissioner Kadish said that it was decided at the December meetings that 
staff was to return to the Commission with a format for the policies being 
developed but that nothing has been done. She hoped a format will be 
presented the next time policies are discussed. 

Commissioner Kadish noted that at the December 5 meeting there was to have 
been a policy reenunciating the Commission's wishes that no concessions 
were to be installed at the Airport without Commission approval. She 
asked that such a statement be included in the next group of policies to 
be discussed. 



Minutes, April 3, 1984, Page 3 



E. POLICY: 

The following item was put over. This item was transcribed verbatim: 

1. Policy - Religious Activities 

Resolution declaring that it is the 
policy of the Airports Commission not 
to provide space at San Francisco 
International Airport for the conduct 
of religious activities, except as 
specified by its Rules and Regulations 
relating to First Amendment activities, 

Mr. Turpen: Before the Commission is a policy relating to space for the 
conduct of religious activities at the Airport. There is a resolution 
which states the Commission policy and that policy is not to provide space 
for the conduct of religious activities except as specified in the Commis- 
sion's Rules relating to First Amendment activities. The policy is very 
direct and the Commission's rules, which are presently before you in draft 
form, contain the rule concerning First Amendment activities; that rule 
has not been changed. That would be the governing feature in the Commis- 
sion's policy regarding space for religious activities. 

Commissioner Bernstein: Are you through, Mr. Turpen? 

Mr. Turpen: Yes, sir. 

Commissioner Bernstein: Mr. Levine, did you want to say something. 

Mr. Richard Levine, attorney for the San Francisco Airport Christian 
Science Reading Room addressed the Commission. 

Mr. Levine: I am here on behalf of the San Francisco Airport Christian 
Science Reading Room. This Reading Room, as members of the Commission 
know, has been a fixture of the South Terminal for some 27 years. It has 
been a tenant throughout that period of time and has paid the going rental 
rate. It has received no special consideration and has been treated as 
every other tenant. Now there has been issued, apparently pursuant to the 
resolution which you promulgate today, what is effectively an eviction 
notice. The Reading Room has been told that as of April 21, it must 
vacate its premises and it will not be relocated. This, to spite the fact 
that all other tenants who were being asked to vacate premises because of 
the renovation going on at the Airport are being relocated. 

The San Francisco Reading Room, at this time, does not question the good 
faith of this body in making the decision or promulgating this resolu- 
tion. We are prepared to believe that you are properly concerned about 
your responsibilities under the First Amendment and that you have con- 
cluded that a continued permit to the Reading Room is inconsistent with 
the Establishment Clause. 

We don't know how long it's been since the members of this Commission and 
their counsel have studied this question but we are entirely convinced 
that you are incorrect. The decisions which have come down in the Federal 
Courts over the past few years have reaffirmed the fact that accommoda- 
tions to groups which may be religiously affiliated which are made on a 
basis no different from accommodations to groups that are not so affili- 
ated does not constitute the establishment of religion. Indeed, in a case 
decided by the District Court in New York and later affirmed by the Second 
Circuit the action of John F. Kennedy Airport in establishing and leasing 
chapels on airport grounds was approved. 



Minutes, April 3, 1984, Page 4 



Commissioner Coblentz: Give me the citation of that, please. 

Mr. Levine: I can give you the name, sir. The name is the Braishish 
Case. I will get you the citation as soon as I sit down. 

Jim Woods, Acting Airport General Counsel: What is the name of that case? 

Mr. Levine: Braishish. We have the citation for that. That was 
submitted to representatives of this Commission a couple of years ago 
along with a memorandum that set forth the law as it was then. The law, 
as it is now, has come considerably toward the Free Exercise Clause and 
areas of conflict between the areas of the Free Exercise Clause and the 
Establishment Clause. Of particular interest is the recent Lynch Case 
which considered the action of Pautucket, Rhode Island in setting up a 
Nativity Scene as part of their municipal Christmas display. The United 
States Supreme Court held in that case that the fact that the municipal 
action might benefit religion did not necessarily and of itself mean that 
the Establishment Clause had been violated. As a matter of Constitutional 
Law it is our opinion that if the continuing permit to the Reading Room 
does not violate the Establishment Clause then the discriminatory eviction 
of the Reading Room among all the other tenants on the basis solely of the 
content of the materials which it makes available is a violation of not 
only free exercise of religion guarantee but the freedom of speech 
guarantee. 

The Christian Science Reading Room has no wish to litigate with the 
Commission or with the City of San Francisco. It does, however, represent 
a religious community which feels that it is the object of discrimina- 
tion; perhaps discrimination in good faith - not intentional discrimina- 
tion but discrimination none the less by this Commission and it feels that 
it must take some steps in order to at least put before this Commission 
what it feels are the applicable authorities which clearly establish that 
the eviction of the Reading Room as opposed to any other tenant of the 
Airport is a violation of the First Amendment. What we would like to (he 
was interrupted). I have that citation for you - it's 484 Fed. Sup. 697, 
Southern District of New York 1979. 

Commissioner Coblentz: What about the Court of Appeals. 

Mr. Levine: It was affirmed at 628 Fed 2nd 1344 Second Circuit 1980. 

Mr. Woods: You also mentioned the Lynch Case. 

Commissioner Coblentz: That's that recent Supreme Court decision. 

Mr. Levine: We have a proposal to make. What we would like to see happen 
here - we would like the eviction notice put in abeyance for a short 
period of time. The Reading Room received this eviction notice approxi- 
mately 10 days ago. They only consulted counsel last week. The eviction 
is now set to go forth in 18 days. We would like an opportunity to brief 
these issues. We would like an opportunity to present the Commission and 
your legal counsel with the authorities which we feel compel that the 
Reading Room not be evicted. The only way for us to do that in time for 
you to consider it before the eviction is to put that eviction off for a 
few weeks. Such a measure would not put the Reading Room in the position 
where it would have to consider litigation; and it does not want to do 
that. 

Commissioner Bernstein: Mr. Turpen, isn't there a problem because of the 
construction. 

Mr. Turpen: Yes, sir. As a matter of fact this termination of the permit 
afforded the Reading Room has been known for some time. Earlier on, I 



Minutes, April 3, 1984, Page 5 



believe, if I recall, a year, maybe a year and a half ago, I don't recall 
exactly how long ago, there was conversation in this regard and the state- 
ment at that time was that we recognize that the construction of the South 
Terminal would impact the Reading Room; they would have to vacate those 
premises and we indicated that early in 1984 the vacation of those prem- 
ises would have to take place so the notice, if you will, the official 
notice of the termination of the permit comes only after a significant 
amount of discussion and a recognition on the part of all parties that the 
South Terminal construction program would impact that location. I don't 
know. I would have to ask Jason exactly what the impact would be of any 
delay in this action. 

Commissioner Goosby: What date are you going to be in there knocking 
walls down. 

Mr. Jason Yuen, Administrator, Bureau of Planning and Construction: May 
1st. There is no sense in continuing the Reading Room while construction 
is going on all around it. There's no access; you can't get in there. 
Your customers can't get in there. There's dust, noise, no heat. 

Mr. Levine: May I respond. I have two responses. First of all it's true 
that the Reading Room has known for some time that the Commission planned 
to ask it to vacate. And, although initial signals were to the contrary, 
the Reading Room has also known for some time that it would be singled out 
as the one tenant who would not be relocated. However, the official no- 
tice did not come. ..( interrupted) 

Commissioner Coblentz: Where did that signal come from. 

Mr. Levine: The signal came in correspondence between Mr. Garibaldi and 
legal representatives of the Reading Room as well as lay representatives 
of the Reading Room. 

Commissioner Coblentz: What was the basis of that signal from Mr. 
Garibaldi . 

Mr. Levine: There was initially a letter, I believe in 1981, that 
discussed the coming renovation that indicated that the existing tenants 
would be relocated. Some months subsequent to that another letter came 
and said that due to the interpretation of the Establishment Clause by 
counsel for the committee the Reading Room would not be relocated. 

Commissioner Coblentz: So there was a discussion of the legal aspects of 
this. 

Mr. Levine: There was indeed, sir. We submitted a memorandum years ago 
about this issue and. ..( interrupted ) 

Commissioner Coblentz: Two years ago. 

Mr. Levine: I believe so, and there was no response. However, we were 
not confronted with an eviction notice until April 21 - I'm sorry, until 
approximately March 21, and had we wanted to take any action, such as go 
to court, we could not have done so until such a notice was issued. But 
we don't want to go to court right now. 

Commissioner Coblentz: You could have filed suit for declaratory relief. 

Mr. Levine: We could have filed suit for declaratory relief, perhaps, but 
there was no action. There was no action by the Commission to get us 
out. There was just a general declaration of intent to which we responded 
with a legal brief indicating that in our view that would be improper and 
a violation of the Free Exercise Clause. 

Commissioner Coblentz: Excuse me. Lou did you have something else. 
Excuse me, Mr. Levine. 



Minutes, April 3, 1984, Page 6 



Mr. Turpen: I think, in view of the history that I'm privileged to have 
before me on this issue going back to April, 1981, and, in view of some of 
the circumstances that Mr. Levine has raised, I would suggest that it 
would be in the best interest of everyone involved to have Mr. Woods and 
Mr. Levine get together, possibly in the intervening period before the 
next Commission meeting which is on the 19th, with the full recognition 
that it is our intent, at this point, to keep that termination and permit 
termination in effect. However, it would allow us, in that intervening 
two weeks to take a look at the situation and very possibly share with the 
attorney for the Christian Science Reading Room some of the information 
that we have and some of the history involved and simultaneously come to 
an understanding about... 

Mr. Levine: I have an alternative suggestion. My alternative suggestion 
is that if the extension of that bar has to begin on May 1 then the 
Reading Room be given alternative space on a temporary basis so that the 
Reading Room retains its status as a tenant of the Airport and is not 
compelled to take any action before it looses that status. 

Commissioner Goosby: That could still be done. In two weeks we'll meet 
again... and if that's the decision it can still be done. 

Commissioner Bernstein: Perhaps, Mr. Woods, you can arrive at some 
conclusion. It's only two weeks. 

Commissioner Coblentz: You've got to face a judgment day somewhere. 
Let's assume that, with all due respect, opposing counsel don't come to an 
agreement . 

Mr. Turpen: It would be my recommendation to this Commission, based on 
the advice of the Airports General Counsel, that we not continue with 
the. . . ( interrupted) . 

Commissioner Goosby: Then we would have this resolution before us, again. 

Mr. Turpen: Yes you would; with my recommendation that it be passed. 

Commissioner Coblentz: Jim, can you and Mr. Levine get together. 

Mr. Woods: Mr. Levine and I have discussed the matter and he wishes to 
submit a written brief to the Airport's General Counsel for his review and 
comment to the Commission in hopes of avoiding litigation and to share his 
knowledge on the recent developments in this Constitutional Law area and 
to make sure that the Airports Commission has the benefit of their 
argument. I see no problem with a two week delay on the decision. I'm 
more than willing to listen to points and authorities from anywhere on the 
question. 

Commissioner Coblentz: I think I speak for the Commission. I don't 
dispute anything you say except for one thing - you said there is no 
question at this time - and a good thing; I think that the record will 
show that at all times, from here on and in the past, this Commission has 
acted in good faith and if there is any question here of eviction of the 
Christian Science Reading Room, or any other, it would be based on the 
constitutional concepts of the separation of church and state; solely 
that, and that's all. 

Mr. Levine: I appreciate that Commissioner. I meant to imply nothing 
else. The purpose of my presentation to you today is to suggest that the 
advice that you have received with respect to the Establishment Clause is 
simply not the current state of the law. 

Commissioner Coblentz: Why don't you do it, and, if you could, make sure 
the Commission gets it, especially Commissioner Fleishell and myself. We 
at least have law degrees. 



Minutes, April 3, 1984, Page 7 



Mr. Levine: So, am I to understand that the resolution will be tabled for 
two weeks while counsel and I discuss it. 

Commissioners Radish, Goosby and Fleishell: Yes 

Mr. Levine: Thank you, very much 

Commissioners Coblentz: That will be on the 17th. 



F. POLICY REVIEW: 

The following item was put over. 

2. Review of Policies Adopted by the Commission during the Period of 
January through April, 1983. 



G. ITEMS RELATING TO ADMINISTRATION, OPERATIONS AND MAINTENANCE: 

Resolution A of the following item was unanimously adopted. 

3. Resolutions Pertaining to Hotel/Motel Advertising Service 

No. 84-0077 

Mr. Turpen asked Ms. Gittens to brief the Commission. 

Ms. Angela Gittens, Deputy Director for Business and Finance, said 
the Commission has received proposals from Acker ley and Baciagalupi. 
She said that she believed the Baciagalupi proposal was confidential 
and the details should not be discussed. She said, as the agenda 
item memo indicated, it incorporates services not contained in the 
present agreement. 

Ms. Gittens said that staff has presented the Commission with a range 
of decisions the Commission could make. One includes the bid for a 
new range of services such as those incorporated in the Baciagalupi 
proposal. Ms. Gittens explained that given the expanded complexity 
of this item additional time would be required to bring it back if 
the item were to go out to bid. She said that at the last meeting 
Mr. Turpen had indicated that staff could get a bid out and back to 
the Commission within two months but she did not feel that that would 
be a likely time period. 

Mr. Turpen said there are three alternatives available to the 
Commission today: (1) extend the existing contract for five years; 
(2) bid the existing provisions necessitating an extension of . 
Ackerley's contract; and, (3) direct staff to develop an expanded 
alternative set of specifications surrounding this activity with an 
extension to Ackerley which would allow staff the time to develop the 
bid proposals and get them back to the Commission. 

Ms. Gittens said her recommendation is to extend Ackerley's contract 
for five years. 

Commissioner Fleishell made the motion to extend and Commissioner 
Kadish seconded. 



Minutes, April 3, 1984, Page 8 



Mr. Victor Baciagalupi, Baciagalupi and Associates, thanked the 
Commission for the opportunity to submit a proposal. He asked if the 
determining factors of staff's recommendation to the Commission was a 
detailed part of the record. 

Mr. Turpen responded that it will be reported in the minutes as 
Ms. Gittens made the recommendation. 

Mr. Baciagalupi assumed there was some criteria used to determine the 
pros and cons. 

Commissioner Fleishell responded that he did not think there need be 
any criteria. He said that there is an existing contract with an 
option and the Commission has the authority to exercise that option. 

Commissioner Coblentz said that unless the Commission is proved to be 
arbitrary and capricious it does not have to state any reasons. 

Commissioner Goosby commented that when a contract has been carried 
out according to the terms and specifications a City agency has a 
responsibility to grant an option. He said that is one of the 
factors he considers in making his decision. 

Commissioner Fleishell, commenting on Ms. Gittens statement that 
Mr. Baciagalupi 's proposal was confidential, said he did not 
understand how it could be confidential when it deals with a public 
subject and you are asking another party to comment on it. He 
suggested that this be cleared up and added that there cannot be 
confidential submissions to the Commission on a public item. 

Mr. Woods agreed adding not unless there was a recognized evidence 
code or government code privilege. He said that in this case it was 
not privileged. 



The following item was unanimously adopted. 

4. Professional Services Contract with San Mateo County 

No. 84-0078 This agenda item concerns a 

professional services agreement 
between the City and County of San 
Francisco and San Mateo County wherein 
the County will be an independent 
contractor of the City to advise the 
Commission regarding possible actions 
to be taken to reduce the impact of 
aircraft generated noise on the San 
Mateo County environs. 

Mr. Turpen explained that this was a continuation of the Airport's 
arrangement in support of the Airport Community Roundtable which is 
part of the variance process. 



The following item was adopted by a 3-2 vote with Commissioners Kadish and 
Goosby casting dissenting votes. 

5. Modification No. 6 to Professional Services Agreement with Morrison 
and Foerster 



Minutes, April 3, 1984, Page 9 



No. 84-0079 Resolution approving Modification 

No. 6 to Agreement with Morrison and 
Foerster to increase by $250,000 the 
compensation payable for legal 
services in connection with small 
claims cases and anti-trust counseling. 

Mr. Turpen said this was an extension to Morrison and Foerster's 
contract for an additional $250,000. He said that Mr. Harold 
McElhinney of that firm was present to answer any questions. 

Commissioner Fleishell said that whatever action the Commission takes 
the actual amount of money spent will be determined in large part by 
the results of the executive session. 

Commissioner Coblentz said this authorizes and sets a cap on the 
funds. The money will be expended subject to the Commissions' 
authorization that certain actions be taken. He explained that it 
does not necessarily mean the money will be expended. 

Commissioner Bernstein asked if this exceeds the amount of money 
remaining for legal expenditures. 

Mr. Turpen responded that he did not think so. It exceeds the amount 
authorized but not the budgeted figure. Legally the Commission must 
raise that ceiling of authorization by $250,000. 



The following item was unanimously adopted. 

6. Final Modification and Close-Out of Contract 1200B( 3 )-Boarding Area D 
- $215,507.15 

No. 84-0080 Final modification to close-out 

contract including adjustments to Bid 
Items and Force Account payments in 
accordance with City's Administrative 
Code. 



CONSENT CALENDAR OF ROUTINE ADMINISTRATIVE MATTERS: 

The following items were unanimously adopted. 

7. Approval of Sublease between American Airlines, Inc. and 
International Total Services, Inc. 

No. 84-0081 Resolution approving the sublease of 

North Terminal office space from 
American Airlines, Inc. by 
International Total Services, Inc. 
(Security 76. ) 



Statistical Adjustments 1983-84 Joint Use Billings under New Lease 
and Use Agreement. 

No. 84-0082 Resolution adjusting 1983-84 Joint Use 

Billing pursuant to Section 101. W of 
the new Airline-Airport Lease and Use 
Agreement for Hawaiian Airlines, Inc. 



Minutes, April 3, 1984, Page 10 



9. Bid Call: Contract No. 1591 

Pavement Overlay of VIP Loading Area 

No. 84-0083 Resolution approving the scope, budget 

and schedule for Airport Contract No. 
1591, Pavement Overlay of VIP Loading 
Area, and authorizing the Director of 
Airports to call for bids when ready. 

Construction time is 21 calendar days. 



10. Bid Call: Contract No. 1592 

Pavement Construction of Taxiway R at Plot 12 

No. 84-0084 Resolution approving the scope, budget 

and schedule for Airport Contract No. 
1592, Pavement Construction of Taxiway 
R at Plot 12, and authorizing the 
Director of Airports to call for bids 
when ready. 



Construction time is 21 calendar days. 



The following items was put over to the next meeting 

11. Award of Contract No. 1582 
Replacement of 12BANB-1 
(Sta. BA to M.H. PDN009) - $83,535.00 



Resolution awarding Contract No. 1582 
to Edith M. Gardner Co., 14130 
Washington Ave., San Leandro, CA 
94577, in the amount of $83,535.00 

This contract replaces an existing 
defective section of 12KV power 
distribution cable 12BANB-1. 

Eight bids received on March 20, 1984, 
are as follows: 

1. Edith M. Gardner Co. $ 83,535.00 

2. Kingston Contracting , Inc. $ 97,970.00 

3. Rosendin Electric, Inc. $107,320.00 

4. Delta Star Electric Co. $124,395.00 

5. Twisselman Electric, Inc . $145,014.00 

6. Fischbach & Moore, Inc. $157,810.00 

7. Arc Electric Co. $158,467.00 

8. Conex Electric, Inc. $177,261.75 

Construction time is 210 calendar days. 



Commissioner Coblentz moved this item with the amended resolution 
awarding the contract to Kingston Contracting. 

Mr. Dennis Bouey, Deputy Director for Facilities, Operations and 
Maintenance, explained that although the low bidder submitted the 
same subcontractor as the second low bidder it was not at the 
required percentage. The low bidder's MBE would be subcontracted out 
at about 15 percent of the total contract amount bid. The second low 
bidder's subcontractor would equal about 25 percent of the bid and 
qualifies under the Airport's MBE arrangements per the Administrative 
Code. 



Minutes, April 3, 1984, Page 11 



Commissioner Goosby asked if the company was owned by a woman or just 
named after one. 

Mr. Bouey responded that the issue at hand was the subcontractor. 

He explained that initially they tried to qualify as a minority-owned 

business but failed. 

Commissioner Goosby, correcting Mr. Bouey, said it was a woman-owned 
business. 

Commissioner Kadish asked why it did not qualify. 

Mr. Bouey responded that Mrs. Gardner was awarded a contractor's 
license about a month ago but her business address is the same as her 
husbands and she uses her husband's equipment. He said there were no 
investment sheets showing she owns her own company. 

Commissioner Bernstein asked Mr. Gardner if he wished to address the 
Commission. 

Mr. James T. Gardner said he and his wife, Edith M. Gardner, have 
been in the construction business since the end of World War II. He 
said they are principally in the airport lighting business and they 
began at San Francisco Airport, Oakland Airport and surrounding 
airports and that their business has grown to be international. 

Mr. Gardner said that 80 percent of his employees are minority. He 
said that in San Francisco and throughout the state his company has 
been active in MBE participation and he has had a joint venture 
partner for many years. He added that his partner has since left to 
run another company. 

Mr. Gardner said his company is down from 100 employees a year and a 
half ago to 34 and he feels it is a good faith effort on their part 
not to retire and leave his minority employees. 

Mr. Gardner said it is very difficult to fulfill the 25 percent MBE 

participation that the City requires. He said that the electrician 

is the one trade that can impact the MBE participation. He said that 
his company no longer has MBE participation. 

Mr. Gardner told the Commission that his wife has been active in the 
construction business for years and are both active in management. 
Mrs. Gardner has received a C-10 license as well as an engineering 
license and welding license yet Julie Yim of the Human Rights 
Commission has said that his wife was not qualified. Mr. Gardner 
said that his wife's license was issued on her own merits because of 
her many years of experience as a managing employer and a 
contractor. He said that his wife has negotiated contracts with 
companies throughout the world. 

Mr. Gardner said that if Mrs. Gardner had owned 51 percent of their 
company they would have qualified as a woman-owned company. He 
explained that his wife decided to start her own company and take in 
two minority women but that Julie Yim said they were not qualified. 
Mr. Gardner said that perhaps they weren't qualified but with his 
wife's backing and her experience in business they really didn't care 
whether the partners were qualified or not. He said that according 
to the law, Julie Yim was right. Mr. Gardner said that he has read 
the book and he agrees with it but explained that according to the 
book Mrs. Gardner was supposed to pick from a list of minority 
contractors and establish a joint venture with a total stranger. 

Mr. Gardner corrected a previous statement made and said his office 
and his wife's office were totally separate. 



Minutes, April 3, 1984, Page 12 



Mr. Gardner said that he objects to the influence of Local 6, the 
IVW. He said that on Friday afternoon at 3:30 p.m. Mr. Rick 
VanBurger, Business Agent of Local 6, phoned him and asked him if he 
was any relation to Edith M. Gardner. Mr. Gardner told 
Mr. VanBurger that he was not. 

Mr. VanBurger then told Mr. Gardner that Edith M. Gardner was low 
bidder on an Airport contract but that she would not get it because 
she was not a union contractor. Mr. VanBurger said that the union 
has something to say about who gets contracts at the Airport and they 
will stop her at the Human Rights Commission level. 

Mr. Gardner said that Local 6 has no jurisdiction over the Airport. 
He called the San Mateo local and asked why Local 6 would make such a 
call. He was told that since the contract was awarded in San 
Francisco Local 6 puts on the pressure. Mr. Gardner said that even 
though he was a union contractor he did not think the union should 
have a say in the award of a contract. 

Mr. Gardner said that yesterday afternoon at about 3:30 p.m. the 
Human Rights Commission determined that Edith M. Gardner was not a 
minority woman-owned business. He said that at 8:00 a.m. this 
morning he called Local 6 and told Mr. Van Burger that Edith M. 
Gardner was not being awarded the contract but found that the union 
already knew all about it. Mr. Gardner asked if the union does in 
fact have any influence over the award of a contract. He asked the 
Commission to direct the City Attorney or the appropriate party to 
investigate this before any awards are made. 

Commissioner Bernstein asked Mrs. Edith M. Garner if she wished to 
address the Commission. 

Mrs. Gardner said she entered into the contracting business in good 
faith effort. She said that she had an RMO license. She told the 
Commission that when Julie Yim went to her office to qualify her she 
went out to her truck and stared at the license name, trying to read 
the name underneath. Ms. Yim asked Mrs. Gardner where she had 
purchased the truck and told her that since she had just started her 
business her husband had given it to her. 

Mrs. Gardner said she met the minority participation by listing 
Gregg Ortiz, a cable splicer, and also listing a minority contractor 
to supply the racking and cable. She said that Ms. Yim disqualified 
him on the grounds that he did not have his own place of business. 
Mrs. Gardner explained that he is a free lance welder with his own 
truck and equipment and has supplied cables and done welding for them 
before. She told the Commission that he also manufactures the steel 
cans that house the component parts for the lights on the runway. 
She said that since the cans (50 or 60 of them) are heavy and 
difficult to handle they allowed him to build them in the back of 
their shop. Mrs. Gardner explained that this was why he was 
disqualified. 

Mrs. Gardner felt that Ms. Yim's approach to her partners was a bit 
strong. She said that while her partners lack some experience they 
are very intelligent. Mrs. Gardner mentioned that her Vietnamese 
partner has difficulty with the language but is very good in her job 
yet she has been disqualified. 

Commissioner Goosby asked Mrs. Gardner what percentage of the 
business was hers. 

Mrs. Gardner responded that her Vietnamese partner, a woman, owned 47 
percent and her Black partner, also a woman, owned 4 percent, and she 
owned 49 percent. 



Minutes, April 3, 1984, Page 13 



Commissoner Kadish asked if the Commission could make an official 
request to the Human Rights Commission to reconsider the points made 
today. She suggested the item be put over. 

Mr. Turpen said he would ask for reconsideration of the low bidder. 

Commissioner Bernstein asked why the low bidder was rejected. 

Mr. Bouey responded that it was his understanding that the Human 
Rights Commission was not satisfied with the proof that this was a 
woman-owned business or that a minority-owned business enterprise 
actually constituted an investment in the organization. 

Ms. Julie Yim, Human Rights Commission, said that the Edith M. 
Gardner Company submitted the low bid and a form certifying they were 
a minority-owned company. She said that she went to check on the 
company and found it was clear that it was not minority-owned. She 
explained at the time that they could make up the difference by 
picking up another subcontractor. She said that they did get another 
subcontractor but upon investigation found that his business was not 
autonomous and he was rejected. 

Commissioner Bernstein asked if the 80 percent minority work force 
was significant. 

Ms. Yim responded that the work force at the time of the award is 
irrelevant; it is not looked at until the start of construction. She 
explained that the ownership is the only consideration at the time of 
award and that this contract has a 25 percent minority business goal. 

Commissioner Goosby suggested that this contract be given another 
look. He hastened to add that this was not a criticism of Ms. Yim's 
work but felt that the Commission should take precautions to be 
painstakingly fair in its evaluations of these contracts. 

Ms. Yim asked if the Commission had a time frame in mind. 

Commissioner Kadish responded that it should be done by the next 
meeting. 

Mr. Turpen said he would make the formal request on behalf of the 
Commission to the Human Rights Commission. 



12. Completion of Professional Service Agreement - 
Mcintosh Laboratories 

No. 84-0085 Proposed resolution accepting the work 

as satisfactorily completed and 
approving final payment in the amount 
of $8,547.80. 



13. Modification No. 3 to Professional Services Agreement - 
Associated Geotechnical Engineers 

No. 84-0086 Resolution approving Modification No. 

3 extending the termination date of 
the agreement to December 31, 1984. 
No additional funds required. 



Minutes, April 3, 1984, Page 14 



14. Declaration of Emergencies 

Airfield Power Cable and Power Cable Service Western Airlines 

No. 84-0087 Proposed resolution declaring the 

existence of the emergencies in the 
airfield power cable failure and the 
failure of the power cable serving 
Western Airlines; directing the 
Director of Airports to effect the 
necessary repairs and requesting the 
Controller to certify funds needed to 
effect such repairs. 

Airfield Power - $75,000 

Power Cable (Western Airlines) - 

$75,000 



15. Los Angeles International Airport's Crash and Mass Casualty Exercise 
- April 25, 1984 

No. 84-0088 Consideration for Clayton S. Scott, 

Airport Operations Superintendent, to 
attend the Los Angeles International 
Airport's Aircraft Crash and Mass 
Casualty Exercise in Los Angeles, 
California on April 25, 1984 

Total costs are estimated at $168.00 



I. COMMUNICATIONS: 

There was no discussion by the Commission. 



J. TRAILING CALENDAR: 

There was no discussion of trailing calendar items, 



ADJOURNMENT TO GO INTO CLOSED SESSION: 

There being no further calendared business before the Commission the 
meeting adjourned at 3:00 PM to go into closed session. 



Jean Caramatti 
Cpjftmission Secretary 



Minutes, April 3, 1984, Page 15 



SAN FRANCISCO 
AIRPORTS COMMISSION 




MINUTES 



DOCUMENTS DEPT. 
OCT 1 9 1984 

SAN FRANCISCO 

P> IR.I \f I IRRARY 



APRIL 17, 1984 



DIANNE FEINSTEIN, MAYOR 

COMMISSIONERS 

MORRIS BERNSTEIN 

President 

WILLIAM K. COBLENTZ 

Vice-President 

RUTH S. KADISH 

DR. Z.L GOOSBY 

J. EDWARD FLEISHELL 



LOUIS A.TURPIN 

Director of Airports 



San Francisco International Airport 
San Francisco, California 94128 



Index 

of the Minutes 

Airports Commission 

April 17, 1984 



Calendar 
Section 


Agenda 
Item 


Title 


A. 




CALL TO ORDER: 


B. 




ROLL CALL: 


C. 




ADOPTION OF MINUTES: 
January 18, 1984 


D. 




DIRECTOR' REPORTS: 



Resolution 
Number 



84-0090 



Page 
3 
3 



E. 

F. 

G. 



H. 



1. On-Airport Rental Car 

Negotiations 

ITEMS INITIATED BY COMMISSIONERS: 
POLICY: 

2. Policy - Religious Activities 
POLICY REVIEW: 

3. Review of Policies Adopted by 

the Airports Commission dur- 
ing the period of January 
through April, 1983. 

ITEMS RELATING TO ADMINISTRATION, 
OPERATIONS AND MAINTENANCE: 

4. Award of Contract No. 1582 

Replacement of Cable 12BANB-1 
(Sift. BA to M.H. PDN009 
$83,535.00 

5. Award of Contract No. 1164 

Pavement Overlay and Recon- 
struction of Road R-2 

6. SPO Airporter Downtown Terminal/ 

Rescission of Previous 
Resolution 

7. Airport Motor Coach Service 

Agreement/Bid Specifications 
and Pre-Bid Conference 

8. Long Term Parking Analysis 

9. Shoe Shine Service in 

Terminals 



84-0091 



84-0092 



84-0093 



3-4 

4-5 

5-12 



12-13 



13-15 



15-18 



18 



84-0094 


19 


84-0095 


19 


84-0096 


19 



Minutes, April 17, 1984, Page 1 



Calendar 
Section 



Agenda 
Item 

10. 



11. 



I. 



Title 

Transfer of $100,000 to Art 
Commission for Award of 
Contract to Charles Ross 
for the Design of a Model 
with the Option of Enter- 
ing into Final Contract for 
the Production and Instal- 
lation of a Skylight Prism 
Sculpture at the South 
Terminal 

Transfer of $3,000 to Art 
Commission for Contracts 
with Artists to Construct 
Maquettes for South Term- 
inal Art Enrichment Program 

CONSENT CALENDAR OF ROUTINE 
ADMINISTRATIVE MATTERS: 



Resolution 
Number 



Page 



84-0100 



84-0101 



19 



20 



12. Forum Communications - 

Extension of Time 84-0097 

13. Approval of Sublease between 

Trans World Airlines, Inc. 

and U.S. Air 84-0098 

14. Approval of Sublease between 

Air California and Alaska 

Airlines 84-0099 



21 



21 



21 



15. Tenant Improvement: Airport 

Hilton-Redecorate Inter- 
national Ballroom Facility 
T-2852 84-0102 

16. Tenant Improvement: United 

Airlines Maintenance and 

Operations Center - Modify 

Boeing 727 Maintenance 

Facility Building 72 

T-2851 - $500,000 84-0103 

17. Bid Call: Contract No. 1600 

Pavement Reconstruction 

Road R16 84-0104 



21 



21 



21 



18. 



Approval of Children's Art 
Exhibit 



84-0105 



22 



J. 
K. 
L. 
M. 



19. Ratification of Declaration 

of Emergency-Upper Level 
Roadway 

20. Travel Request: Asphalt 

Institutes Short Course 
on Flexible Pavements - 
May 1, 1984 

COMMUNICATIONS 

TRAILING CALENDAR 

CLOSED SESSION 

ADJOURNMENT 



84-0106 



84-0089 



22 

22 
22 
22 
3 
22 



Minutes, April 17, 1984, Page 2 



Minutes 

of the 

Airports Commission 

April 17, 1984 



CALL TO ORDER: 

The regular meeting of the Airports Commission was called to order at 
2:00 P.M., in Room 282, City Hall, San Francisco, Ca. 



B. ROLL CALL: 

Present : 

Absent : 



Commissioners William K. Coblentz, 
Ruth S. Kadish, Z. L. Goosby, 
J. Edward Fleishell 

Commissioner Morris Bernstein 



CLOSED SESSION: 

The meeting adjourned at 2:01 P.M. to go into closed session and 
reconvened at 2:15 P.M. 



ADOPTION OF MINUTES: 

The minutes of the regular meeting of January 18, 1984 were adopted by 
order of the Commission Vice President. 

No. 84-0090 



D. DIRECTOR'S REPORTS: 

1. On-Airport Rental Car Negotiations 



Report outlining status of rental car 
negotiations regarding; 

1. Modified operating agreement and 
options ; 

2. Roadway vehicle headway control; 



Minutes, April 17, 1984, Page 3 



3. "Ready and Return" lot 
allocations ; 

4. Temporary Summer 1984 parking; 
and, 

5. Long-range planning for locations 
construction of a jointly used 
parking structure. 

Mr. Turpen said staff has been working with the rent-a-car companies 
in order to come to a modified agreement for a lease extension but 
that the current location and lack of space has impacted the 
discussions. The report clearly identifies what staff will be 
doing. He said there is a concensus of the rent-a-car companies to 
look at a remote area near the San Bruno exit for a long term 
location for the rent-a-car facility. He said this would be a 
multi-story rent-a-car return and pick-up location and would require 
an EIR. He said that this is the only area available on the Airport 
to begin planning for the future with respect to rent-a-cars. He 
said that if, at some future date, the West of Bayshore property 
becomes available then this current planned facility will be 
available for long-term parking in the vicinity of the existing long 
term lot. 

Mr. Turpen said that staff will move forward with a plan and return 
to the Commission as the idea is developed. 

Commissioner Radish asked if this was as a result of the April 10 
meeting. 

Ms. Angela Gittens, Deputy Director for Business & Finance, said that 
at the April 10 meeting there seemed to be an agreement and Hertz 
asked that their rejoinder to the Director ' s Report be sent to the 
Commission. She said that some substantial changes will be made in 
the resolution and returned to the Commission on May 1st. She said 
that the lot location was the main bone of contention and there is no 
agreement on the long-term plan, though there is agreement on the 
fact that the long-term problem must be addressed. 



ITEMS INITIATED BY COMMISSIONERS: 

Commissioner Kadish said that some time ago she had asked for a 
report on regular procedures used to monitor Airport facilities and 
if no procedure exists then one should be developed. She asked that 
it be calendared for the next meeting. 



Commissioner Kadish said that on January 18 it was decided that there 
was to be a report at the next meeting on the use of the nursery and 
whether or not it would be continued. If the decision was to 
continue it then it was to be listed in the Airport brochure. 



Commissioner Kadish said the Commission was supposed to receive a 
mock-up of the brochure but has not yet received it. 



Minutes, April 17, 1984, Page 4 



Commissioner Goosby asked that the Commission receive copies of the 
proposed Civil Service Charter changes. He also asked that when the 
Human Rights Commission makes recommendations to deny the low bidder 
that the justification for the recommendation be included. 



POLICY: 

The following item was unanimously adopted. A verbatim transcript of the 
discussion follows. 

2. Policy - Religious Activities 

No. 84-0091 Resolution declaring that it is the 

policy of the Airports Commission not 
to provide space at San Francisco 
International Airport for the conduct 
of religious activities, except as 
specified by its Rules and Regulations 
relating to First Amendment activities, 

Commissioner Kadish moved for approval of the item and Commissioner 
Goosby seconded the motion. 



Mr. Richard Levine, Attorney for the Christian Science Reading Room: 
When I last came before the Commission, on behalf of the Reading 
Room, you did three things: you gave us permission to file a legal 
brief. We have done so. You tabled the resolution, which is before 
you again today and you instructed us to meet with your counsel. In 
response, we submitted the brief, which you have all received. We 
believe that that brief addresses all pertinent legal issues and we 
believe that that brief establishes that under Constitutional Law, as 
it has been interpreted by the Supreme Court of the United States, 
the continuing presence of the Reading Room does not represent an 
establishment of religion and cannot be found to violate any provi- 
sion of the California Constitution. 

We attempted, on a number of occasions, to meet with your counsel. 
Your counsel was not disposed to meet with us. We were disappointed 
by that because we had hoped to initiate some sort of dialogue in the 
event that your counsel still had questions remaining after receipt 
of our brief. I am prepared to have that dialogue now, should anyone 
wish. Beyond that, I don't know what more I can say beyond what we 
have put in the brief. We continue to hope that the Commission, now 
being perhaps more fully informed of applicable law than they were 
before we submitted our brief, might withdraw this resolution and 
withdraw the eviction procedures which they have initiated against 
the Reading Room. 



Commissioner Coblentz: Mr. Turpen 



Mr. Turpen: Members of the Airports Commission. There are really 
two issues involved in the Christian Science Reading Room. The first 
is a question of continued occupancy of space in the South Terminal 
facility; a facility which is scheduled for modernization very 
shortly, or, an area which is scheduled for modernization very 



Minutes, April 17, 1984, Page 5 



shortly. Tne second issue is an issue of a continued tenancy at the 
Airport in some alternate location. The policy before you addresses 
the second issue, an issue of continued tenancy at the Airport in 
some alternate location. 

With respect to the first issue, the Christian Science Reading Room 
is on a 30-day cancelable permit at the discretion of the Airport 
Director. In April 1981, in 1982, '83 and again in January of 1984 
the Christian Science Reading Room Board of Directors were notified 
that the Christian Science Reading location in the South Terminal 
would have to be closed sometime in early 1984 coincident with the 
impact of the modernization program. The election of the Airport 
staff at that time was to allow the Reading Room to remain up until 
the last possible moment and we have accomplished that. However, on 
May 1st the area in question will be impacted by a $100-million South 
Terminal Renovation Program, a fact which has been known in excess of 
three years. This is not an eviction it is simply a termination of a 
30-day cancelable permit by the Director of Airports. That action 
has been taken. The construction program will impact that area on or 
about May 1st. 

With respect to the second issue, the location of alternate space, 
there are two factors to consider. One is the impact of the 1973 EIR 
which limits the building envelope. The Airports Commission, through 
that EIR, is allowed only to construct so much terminal space. In 
addition, as the Commission is well aware, there has been significant 
demand for that terminal space by many of the carriers operating out 
of San Francisco International. Space is, to say the very least, at 
a premium and becomes more so each day with increased demand and, of 
course, is compounded by closing down a section of the South Terminal 
Boarding Area A for the modernization program. So the availability 
of space is a concern. In allocating the space resource it's 
important to recognize what demands are placed upon the Airport by 
the airline community and those activities attendant to and necessary 
to the smooth flow of passengers through the Airport facility. 

Therefore, I would recommend to the Airports Commission that, with 
respect to this policy, this policy be passed by the Airports 
Commission. It is my further recommendation that we continue to and 
make our best efforts to dedicate that space at the Airport for those 
activities directly involved in support of air transportation. 

With respect to the first item, the construction program has 
foreclosed any alternatives in a continued occupancy of the South 
Terminal and I am available to answer any questions the Commission 
might have. 



Commissioner Coblentz: Does any member of the Commission have any 
questions they want to ask. 

Commissioner Kadish: One question. It's my understanding that this 
is already the policy of the Airports Commission. Why do we have it 
appearing before us again. Or, is this a reenunciation? 



Mr. Turpen: The policy enunciated by the Airports Commission in, I 
believe Commissioner Kadish, 1980 or '81 resulted from the demands on 
space and the impact of the closure of the Central Terminal. At that 
time it is my recollection that the policy stated that there would be 



Minutes, April 17, 1984, Page 6 



no activities which were not directly in support of air transporta- 
tion and the movement of passengers through the terminal in that 
original policy. This policy simply is a further enunciation of that 
concept. It is consistent with that policy but specific to this 
issue. 



Commissioner Goblentz: I'd like to ask a couple of questions. I 
read in the media that the Christian Science Reading Room will be 
replaced by a bar. Is that true. 



Mr. Turpen: No, Commissioner Coblentz, it is not true. I can ask 
Angela to comment specifically on what the space will be used for but 
it is my understanding that it will be used for a major sit-down 
restaurant in the South Terminal; something that our passenger 
surveys have indicated as necessary and have indicated that has been 
necessary for a long time. 

When the media brought that to my attention I did point out to the 
media that that was not correct but evidently the media did not fully 
understand how the space was going to be developed. 



Commissioner Coblentz: If you go over the legal obstacles, whatever 
they may be, is there any space available? 



Mr. Turpen: I think there are two answers to that question. Today, 
I 'd say no because of the impact of the South Terminal modernization 
and the very, very significant demand for space. This summers 
activities are compounding that problem with the Convention, the 
Olympics and, of course, the national election coming up. After the 
completion of the modernization program would there be any space 
available? Very possibly there would be space available but at this 
point I would not want to allocate a resource prematurely and then be 
denied access to that resource when I need it for airline support or 
direct passenger support. 



Commissioner Fleishell: The need for this new larger restaurant in 
the South Terminal is occasioned, in part, by the closure of the 
major restaurant at the Airport in the Central Terminal. 



Mr. Turpen: There were two things, Commissioner Fleishell. That's 
exactly correct. The International Room Restaurant was closed. In 
addition, the passenger surveys for the past three years have 
indicated a very significant need for a major food facility in the 
South Terminal. It's one of our busiest areas on the Airport. 



Commissioner Fleishell: Let me just make one comment. I'm going to 
vote for this but I do it very reluctantly. First of all, from a 
legal standpoint, I think Mr. Levine has done an outstanding job. I 
agree with his conclusion. Legally, I don't see that we suffer any 
great problems. The practical side is that we have turned down other 
religions. We don't have any space and we have to be fair and I will 
( interrupted ) . 



Minutes, April 17, 1984, Page 7 



Commissioner Coblentz: Mr. Levine. 



Mr. Levine: In the first place, much of what Mr. Turpen says is not 
material to the questions presented to this Commission. The Reading 
Room is willing to take alternative space. If you want to extend the 
bar, whether you call that extension a restaurant or not, relocate 
us. We're talking about 450 square feet. Questions relating to (he 
was interrupted by Commissioner Coblentz.) 



Commissioner Coblentz: Let me ask a question. I don't know any of 
the facts here. Suppose you got 450 square feet on the fourth floor, 
would that be satisfactory? 



Mr. Levine: I can't speak for my client at this point. I can't say 
that it wouldn't be satisfactory. 



Commissioner Coblentz: You would be off the main stream. 



Mr. Levine: As I said, I cannot respond to that question at this 
point. If the offer is made, I'll communicate it. 

I would like to speak to some of the issues. 



Commissioner Kadish: Was it an offer or a question? 



Commissioner Coblentz: It was a Question. 



Mr. Levine: First of all, with respect to the 30-day cancelable 
permit, or, the month to month tenancy, as Mr. Turpen has 
characterized it, it is my understanding that that is not only true 
of the Reading Room; that that is true of other tenants in the 
Airport. The decision to terminate one tenant and not relocate that 
tenant while relocating all other similarly situated tenants cannot 
be justified (interrupted by Commissioner Coblentz.) 



Commissioner Coblentz: Hold it. Let's get the answer to that. 



Commissioner Kadish: Agreed. 



Commissioner Coblentz: One of the best justices I ever heard and 
read said to go from step to step. 



Mr. Levine: Fine. 



Minutes, April 17, 1984, Page 8 



Mr. Don Garibaldi, Airports General Counsel: The response to that is 
that it's my understanding that we have already closed a flower shop 
in the South Terminal and we've also closed a barber shop in the 
South Terminal; not relocating them, we just simply close them down 
because, again, of the space problem. 



Mr. Levine: Okay. That information is news to me. Be that as it 
may, the stated concern of this Commission and the express written 
position of this Commission, and a position, Commissioner Coblentz, 
that you yourself expressed at our last session, is that by 
maintaining the Reading Room at the Airport you risk a violation of 
some church-state constitutional principle. Now, unless I misunder- 
stand, Commissioner Fleishell has already stated that he is persuaded 
by our brief that that is not, in fact, the case. Subsequent 
rationals that are proposed now would not seem to me to be terribly 
persuasive. In any event, as I state in the brief, the decision to 
terminate the Reading Room, based upon the Reading Room's religious 
affiliation and the content of the Reading Rooms speech is a decision 
which cannot properly be made. 

With respect to Mr. Turpen's comments about the building envelope or 
the limits of space, I don't have the facts on that. We obviously 
have not had discovery in this proceeding. However, there have been 
statements made by representatives of the Airport, at least as 
recently as February, 1983, when in a meeting of existing tenants Mr. 
Conrad stated that there was much space available. That space would 
not only be available in the new Central Terminal but that there was 
space available in the South Terminal. Perhaps more space than the 
Airport could rent in the bottom floor of that South Terminal. 

Mr. Turpen's statement today, which seems to me to be rather vague, 
is directly contradictory to that. I'm curious as to what the real 
facts are. As I said, we're only talking about 450 square feet. 

Commissioner Kadish points out that in her view the Commission's 
already had a policy such as the resolution that is before you 
today. That may well be true. I don't know. What is true, however, 
is that the Commission has lived with a relationship with the Reading 
Room, a relationship by no basis different than its relationship with 
any other tenant, for 27 years. Moreover, it's been three years 
since the Commission first issued its notice that they were concerned 
about a church-state issue here. If you are now no longer concerned 
we cannot see any good faith reason, in line with the authorities 
that we've cited, to discriminatorily choose the Reading Room for 
eviction rather than relocation. 

If there are no more questions that's the end of my presentation. 



Commissioner Coblentz: Thank you. Does anybody here have any. 



Mr. Turpen: I have nothing further. 



Commissioner Goosby: There are no other speakers. I agree with Mr. 
Fleishell. I think that fairness demands that we establish this if 
we haven't voted on that policy resolution which has been discussed 
for sometime. We vote on it and establish it. But fairness would 
demand that, if it behooves the City, that they want a Reading Room 



Minutes, April 17, 1984, Page 9 



or some religious area which people can practice and read their 
particular material then I think we can address that, in keeping with 
the policy that we have. There are other religions, I am sure, just 
waiting, especially with the publicity that has surrounded this, just 
to see what this Commission does. We had a request the Christmas 
before last from a religious group who wanted to come into the 
Airport. We had a request from the Catholic Archdiocese, not the 
Archdiocese but a Catholic person who wanted to put in a chapel. The 
Krishna sect went all the way to the Supreme Court. As a result of 
that we have established, in trying to be fair and constitutional, 
booths in designated areas, designated by the Director, where 
solicitation of funds and literature can be passed out to passengers 
using the Airport, but from an isolated area rather than people just 
parading through the Airport doing it. So there has been attention 
and an attempt to do this but those would be my reasons, and 
certainly nothing to do with the church -state issue, but the fairness 
and justice of it and to treat other people like you want to be 
treated . 



Mr. Levine: May I have the Commission's indulgence for one more 
thing. 



Commissioner Coblentz: Sure. 



Mr. Levine: The point is whether the Commission is going to be con- 
fronted with a lot of applications from other groups to rent space on 
the same basis that the Reading Room has rented for all these years. 
There are really two points to be made: one is that the Reading Room 
is not given that space, the Reading Room rents that space and the 
rental is not cheap. I do not know how many other applicants which 
are religiously affiliated have sought to rent space on the same 
terms and conditions as other tenants at the Airport but I suggest 
that if they haven't been, the concern about being inundated with 
other groups may be illusory. 

The second point is this: under the case law, as we read it, the 
Commission's duty is to enact some kind of content-neutral, non- 
discriminatory basis to accept new tenants. That means that the 
Commission ought not to make a distinction between application for 
new tenancies, between groups that are religiously affiliated or 
groups that happen to make religious expression available in the 
Airport and groups that are not religiously affiliated or groups that 
purvey other types of literature. The Reading Room does not suggest 
for a moment that other religious faiths who wish to have facilities 
in the Airport ought to be excluded. We believe that you can no more 
exclude them than you can exclude the Reading Room. The issue is, 
must the Commission have a content-neutral, non-discriminatory set of 
criteria to apply to tenancies. 

Thank you. 



Commissioner Coblentz: It seems to me that I agree with Ed 
Fleishell. This is an excellent brief; I've even read the cases. If 
we granted the Christian Science Reading Room the right to continue I 
don't think there 'd be any problem, I think we could withstand the 
legal challenge here. They pay rent; they pay the reasonable rent 
that others pay; they've been there for 27 years and have almost a 



Minutes, April 17, 1984, Page 10 



pre-emptive right. This Commission is neither against nor promotive 
of any religious group. But what we have here, and the real facts 
are what we're supplied with by staff, is a practical problem. The 
practical problem, as I understand it, is space availability. It 
seems to me, legally speaking, if we in good faith so state that we 
have and can prove that we have a space problem, that we have not 
arbitrarily or capriciously terminated the flower shop and the barber 
shop and others, and what we are trying to do is enlarge a particular 
space than I think we're on good grounds. Maybe later on, and I'm 
not thinking of the question of other religious groups coming in 
because I doubt many of them could afford to pay for the rent on this 
kind of space, but on the other hand if its true that we do have this 
space problem then I don't think we're acting in an arbitrary manner 
and I think it could be fully upheld. 

Does anybody else have a question. 



Commissioner Kadish: Call for the question. 



Mr. Levine: Commissioner Coblentz could I respond to that last 
statement . 



Commissioner Coblentz: Sure. Then that's it. 



Mr. Levine: Okay. I hear in there a grain of what may save us 
steps. Would it be possible to relocate the Reading Room on a 
temporary basis to give your staff and perhaps, if you would put 
procedures in place, to give us an opportunity to develop those facts 
so we can, in fact, find out which of the various contradictory 
statements that have been made about the availability of space at the 
Airport are true. 



Commissioner Coblentz: Well, as I understand it there are two 
things. First, they want you out not because you're the Christian 
Science Reading Room or anything else; there has to be work done in 
the South Terminal. That's a given. As far as temporary, I just 
don't know. And I think that puts everybody in a difficult position 
too because I don't want a stopple here or anything else if somebody 
gets in. 



Mr. Levine: I can appreciate that and I appreciate your concern 
about wanting to get on with your renovation but you know the policy 
here you're enacting is based upon religious activities and the - 
notion of the renovation simply does not (interrupted by Commissioner 
Coblentz . ) 



Commissioner Coblentz: Is it your desire that you stay in this 
space, because it just can't be done. 



Minutes, April 17, 1984, Page 11 



Mr. Levine: As I said last time we came together, as I said in the 
brief and as I said here today it is the Reading Rooms desire to have 
an appropriate space in the Airport, it is the Reading Rooms desire 
to be treated like its co-tenants have been treated. The Reading 
Room has no objection to being relocated to an appropriate space. 



Commissioner Coblentz: The flower shop and the barber shop have not 
been. 



Mr. Levine: Commissioner Coblentz I don't know what considerations 
were involved in the flower shop and the barber shop. This is 
something I've never heard about; this is something I would want to 
investigate. As I said, the record in this matter, the resolution 
that's on the table today, your own statements, sir, establish for 
me, and I think would establish for any other fact finder, that the 
basis on which this Commission has at least proported to make this 
decision is the religious affiliation of the Reading Room. I don't 
think that anything that is done from this point on can change that 
record. 



Commissioner Coblentz: Vfell, I think they've called for the question 
and that's it. But I completely disagree with you and it has nothing 
to do with religion here but maybe I didn't make myself clear. A lot 
of judges have said the same to me before so we'll go on. The 
question has been called for. That's it. 



(The roll was called.) 
Commissioner Coblentz: Yes. 

Commissioner Kadish: Yes. 

Commissioner Goosby: We're voting for the resolution. Yes. 

Commissioner Flei shell: Yes. 

* * * 



G. POLICY REVIEW: 

3. Review of Policies Adopted by the Airports Commission during the 
period of January through April, 1983. 

Mr. Turpen said the items are presented for the Commission's review 
and comment today and if it is felt that the policies are accurately 
stated they will be presented to the Commission at the next meeting 
in resolution form. 



Minutes, April 17, 1984, Page 12 



Commissioner Kadish asked that the policy stating: "No concessions 
will be authorized at the Airport without the approval of the 
Airports Commission" be amended to read "including those on permits 
based on the temporary nature of them." 

Mr. Turpen said that will be taken care of but the key word in the 
resolution is "no." 

Commissioner Kadish asked that the policy dated February 1st be 
reworded to read "...to conduct a holiday festival annually" and not 
"...to annually conduct a holiday festival." 



H. ITEMS RELATING TO ADMINISTRATION, OPERATIONS AND MAINTENANCE: 

A revised resolution was submitted to the Commission awarding the contract 
to the second lowest bidder and was unanimously adopted. 

4. Award of Contract No. 1582 
Replacement of Cable 12BANB-1 
(STA. BA to M.H. PDN009 
$83,535.00 



No. 84-0092 



Resolution awarding Contract 1582 to 
Edith M. Gardner Co., 14130 Washington 
Avenue, San Leandro, Ca 94577, in the 
amount of $83,535.00 



This contract replaces an existing 
defective section of 12KV power 
distribution cable 12BANB-1. 

Eight bids received on March 20, 1984, 
are as follows: 



1. E.M. Gardner Co. 

2. Kingston Contracting 

3. Rosendin Electric 

4. Delta Star Electric 

5. Twisselman Electric 

6. Fischbach & Moore 

7. Arc Electric 

8. Conex Electric 



$ 83,535.00 
$ 97,970.00 
$107,320.00 
$124,395.00 
$145,014.00 
$157,810.00 
$158,467.00 
$177,261.75 



Construction time is 210 calendar days. 

Commissioner Coblentz asked what the Human Rights Commission 
recommended . 

Mr. Dennis Bouey, Deputy Director for Facilities, Operations and 
Maintenance, said that the Commission extended to Edith M. Gardner 
Company the courtesy of referring this matter back to the Human 
Rights Commission for further review. Tne staff concurred with the 
previous recommendation of the Human Rights Commission. Edith M. 
Gardner Company had appealed it to Grant Mickens (HRC) who ruled that 
they have not met the MBE qualification. He therefore recommended 
awarding the contract to Kingston Contracting. 



Minutes, April 17, 1984, Page 13 



Commissioner Coblentz said that although two individuals want to 
address the Commission, the Commission will not overrule the finding 
of the Human Rights Commission. He said that although the Commission 
may disagree with the Human Rights Commission from time to time it is 
the policy of the Airports Commission to follow their recommendation. 

Mr. Frank Yap, attorney for 'Edith M. Gardner Company, expressed 
surprise at Commissioner Coblentz' statement that the Airports 
Commission would not overrule the Human Rights Commission. 

Commissioner Kadish told Mr. Yap that the Human Rights Commission 
decision cannot be overruled. 

Commissioner Goosby said that Grant Mickens' decision can be appealed 
to the Human Rights Commission but the Airport cannot overrule the 
decision. 

Mr. Garibaldi said that the Human Rights Commission is the agency 
that determines affirmative action issues for all City departments. 

Mr. Yap stated for the record that they have reviewed the Human 
Rights Commission's decision and feel that the determination is 
arbitrary and capricious. He said that they merely listed an 
evaluation and somehow have connected the evaluation with a 
determination that his client should be rejected. 

Commissioner Coblentz said that Mr. Yap's recourse was the courts. 

Commissioner Kadish asked where the Airport stands if the contract is 
awarded to Kingston and the Human Rights Commission reverses its 
decision on an appeal by Mr. Yap and Mrs. Gardner. 

Mr. Garibaldi responded that he was not sure what recourse Mr. Yap 
and Mrs. Gardner had before the Human Rights Commission. The Airport 
is satisfied that the Human Rights Commission decision is sustainable 
and the contract can be awarded to Kingston. If they sue they would 
only have a claim for damages for lost profit. 

Mr. Yap asked if the Commission had the authority to reject all 
bids. He said it was unfair to award the contract to the second 
lowest bidder if the Human Rights Commission has acted arbitrarily 
and capriciously. 

Mr. Garibaldi responded that the Airports Commission had the 
authority in all cases to reject all bids. 

Mr. Yap said that he felt he should present his case on behalf of 
Edith M. Gardner Company in the hopes that the Airports Commission 
will see that the Human Rights Commission acted arbitrarily and 
capriciously and not award the contract to the second lowest bidder. 

Commissioner Coblentz responded that he has read all of the material 
and does not feel that the Human Rights Commission acted arbitrarily 
and capriciously. 

Mr. Yap said that the Human Rights Commission sets certain guidelines 
for MBE percentages and his client has satisfied all requirements. 
He presented the Commission with a document stating their position 
and showing that the Human Rights Commission has not considered Edith 
M. Gardner in a fair light. He said that the Human Rights Commission 
has somehow entered into the determination with a preconceived notion 
that the Edith M. Gardner Company cannot be an MBE for reasons 
unknown. In addition, the Human Rights Commission has reversed its 
original decision and determined that Robert Fields of Fields 



Minutes, April 17, 1984, Page 14 



Welding, a supplier for Edith M. Gardner, was a proper MBE, but not 
for this contract. He said that Mr. Fields has about 50 percent of 
the contract as a supplier and is a minority yet the Human Rights 
Commission has not stated why he is being rejected. He said that 
based on Mr. Fields as an MBE supplier the Edith M. Gardner Company 
is properly qualified with the appropriate MBE percentages and should 
be awarded the contract. 

Commissioner Goosby said that in a letter from the Human Rights 
Commission to Lou Turpen, Grant Mickens did reverse a decision and 
declare Mr. Fields an MBE welder, however, he is not a bonafide 
supplier. He said he will go along with the recommendation and felt 
that the fight must be before the Human Rights Commission. Commis- 
sioner Goosby said that the Human Rights Commission has had far more 
experience in assessing these contracts and it's not wise to start 
second-guessing them in this. He did feel that there are grounds for 
a second look by the Human Rights Commission. 

Mr. Robert Fields, Fields Welding, said it was his understanding that 
as a supplier he must take possession of the merchandise or he would 
be considered a broker. He said if the material is purchased through 
Bayside, a bonafide minority contractor, full credit would be 
received; if purchased from Robert Fields Welding Company only 5 
percent credit would be received. 

Commissioner Coblentz said that these questions should be addressed 
to Grant Mickens. 

Commissioner Kadish regretted that the Commission's hands were tied 
because she would vote in favor of the Edith M. Gardner Company. She 
hopes Mrs. Gardner appeals to the Human Rights Commission for recon- 
sideration. 



The following item was adopted by a 3-1 vote with Commissioner Kadish 
casting the dissenting vote. 

5. Award of Contract 1164 

Pavement Overlay and Reconstruction of Road R-2 

No. 84-0093 Resolution awarding Contract No. 1164, 

Pavement Overlay and Reconstruction of 
Road R-2, to The Lowrie Paving 
Company, Inc., P.O. Box 2465, South 
San Francisco, Ca 94080, in the amount 
of $381,980.00. 

Construction time is 30 calendar days. 



Commissioner Kadish felt it inadviseable to go to the fourth bidder 
in this instance and that the preferable action would be to reject 
all bids. 

Commissioner Coblentz asked if there was a time constraint. 

Mr. Bouey responded that there was not enough time to refer it back 
to the Human Rights Commission. The contract is scheduled to be 
completed before the summer rush and the deadline date is the 
Memorial Day weekend. 

Mr. Bouey said he would like the contract to go forward. He would 
concur with Commissioner Kadish 's recommendation if it were found 
that any of the complainants' arguments had merit. 



Minutes, April 17, 1984, Page 15 



Commissioner Goblentz asked what the difference was between the low 
bid and the fourth bid. 

Mr. Bouey responded that the difference is approximately $13,000. 
The low bidder is not protesting, but the second low bidder, Bay 
Cities, is. The difference between Bay Cities and the fourth bidder 
is $6,000. 

Commissioner Kadish felt that a travesty is made of the bidding 
process by dropping down to the fourth bidder. The Commission has a 
responsibility in terms of maintaining credibility in the construc- 
tion industry to not be party to such an action. 

Mr. Bouey agreed with Commissioner Kadish but said that this is an 
EAA contract which not only has an MBE requirement but a WBE require- 
ment as well. He said that often times, as in this case, the Airport 
encounters bidders new to the City and not aware of all the rules, 
which are spelled out in the specifications. 

Commissioner Kadish said that the Airport pays over $100,000 for 
Human Rights Commission monitoring and she felt that the function of 
the Human Rights Commission in this instance is not merely looking 
for bidders who do not meet the requirements but to aid all bidders 
in fulfilling the requirements. She suggested that steps should be 
taken to insure that positive action takes place rather than just the 
negative . 

Mr. Bouey responded that he and Jason Yuen have spent time trying to 
do just that. He said that once you start qualifying people, in this 
case subcontractors, you are revealing the dollar amounts that they 
are going to bid with the contractor thereby throwing off the bid 
process. He said that he and Jason Yuen are concerned about this and 
if a way could be found they would be happy to explore it. He said 
that he understood Commissioner Kadish' s concerns and agreed with 
them. 

Commissioner Goosby asked if Julie Yim of the Human Rights Commission 
worked with bidders having difficulty meeting goals. 

Ms. Yim responded that she makes herself available throughout the 
time of the bid as well as the first five days after the bid opening 
to give suggestions of names of companies offering the type of work a 
bidder is looking for without revealing the dollar amount. She 
explained that even when a bidder makes an error they are given one 
chance to make up the deficiency. If the bidder does not comply the 
second bidder is looked at. 

Mr. Gary Selvin, Attorney for Bay Cities, said that he has spoken 
with Grant Mickens, Stanley Lim and Julie Yim of the Human Rights 
Commission, the City Attorney's Office and he made an effort to speak 
with Mr. Turpen. He said that the second bidder does qualify and has 
met all of the requirements but they will not consider the WBE that 
Bay Cities submitted. He said that the Commission has the authority 
to extend the time within which the WBE can be submitted. 

Mr. Garibaldi remarked that the Affirmative Action Program of the 
Human Rights Commission does provide that an extension of time can be 
granted either by the Human Rights Commission or the Airports 
Commission. 

Commissioner Coblentz asked Mr. Bouey what would happen if this 
contract was put out to bid again. 



Minutes, April 17, 1984, Page 16 



Mr. Bouey responded that the bid call would be sometime in July and 
the construction would be scheduled for August or September. He 
wanted to avoid doing the work in June or July because of the 
Convention. He explained that this is the overlay of the entire R-2 
road from the Airport Hilton back to the Millbrae gate. 

Commissioner Coblentz assumed that if the contract was rebid the cost 
would increase. 

Mr. Bouey said that according to the Wall Street Journal the 
suppliers' and producers' costs are going up and most companies are 
working around the clock to beat the cost of inflation. 

Commissioner Fleishell asked how long it would take to get Human 
Rights Commission approval. 

Mr. Selvin responded that Julie Yim could certify right now. 

Ms. Yim said that an extension of time can be requested after the 
initial five days allotted to submit documents but not the day before 
the award of the contract. 

Mr. Selvin recapped the sequence of events and said that Bay Cities 
submitted a name of a WEE which was rejected by the Human Rights 
Commission on the grounds that she did not actually drive the truck 
although she did control the business interest and make financial 
decisions in concert with her husband. He said that the contract 
does not require that the WEE manager be involved in the physical 
labor. He felt that there was a wrongful rejection of the company. 

Commissioner Coblentz asked, assuming that the Human Rights 
Commission made a wrong decision, what power the Airport had. 

Mr. Garibaldi again explained that it was a Human Rights Commission 
decision and the Airport is bound to that decision. Any challenge 
must go back to them. 

Mr. Selvin said that the third person submitted was rejected for 
timeliness and that is within the Airport's jurisdiction. 

Mr. Garibaldi said that the Airport could extend the time in which to 
comply. 

Commissioner Kadish recommended that if the Commission grants an 
extension of time and the Human Rights Commission accepts the WBE of 
the second bidder that the contract be awarded to the second bidder. 

Mr. Selvin said that last Friday Bay Cities presented a contract 
signed by a woman trucker from Nu-Pel Trucking, an independent 
contractor meeting WBE requirements. He said he did not understand 
why Grant Mickens would not certify her four days before the bid date. 

Commissioner Coblentz asked Mr. Lowrie of The Lowrie Paving Company, 
Inc. if he wished to address the Commission. 

Mr. Lowrie said the facts in this case are similar to the ones in 
Contract 1371, Reconstruction and Overlay of Runway, about two weeks 
ago. He said he did not issue a protest to the Commission at that 
time regarding awarding the contract to McGuire and Hester but he did 
contact the Human Rights Commission. He said that the Human Rights 
Commission based its recommendation on the greatly inflated goals for 
trucking. 



Minutes, April 17, 1984, Page 17 



Mr. Lowrie said that there was no way a general contractor could meet 
the goals of 15-16 percent without using an MBE subcontractor for 
some portion of the project. He said that he is certain that Eay 
Cities has presented a figure of about $50,000 for their entire MBE 
goal but by his estimate there is only $18,000. He said that the 
first, second and third bidders did not list any MBE or WBE 
subcontractors at the time of bid. Lowrie Paving was the only bidder 
to secure sub-bids from MBE contractors. These additional costs, in 
part, resulted in their placing fourth on the list. 

Mr. Lowrie said that Bay Cities lias been low bidder on many projects 
in which Lowrie has also bid. He said that in practically every case 
where Lowrie has been the second bidder he knows that they (Bay 
Cities) have based their goals on the trucking which has not been 
fulfilled by minority or women truckers. 

Commissioner Kadish remarked that this was not a problem for the 
Airports Commission. 

Mr. Lowrie said that the goals which Bay Cities was proposing cannot 
be met. 

Commissioner Goosby told Mr. Lowrie that although he brought up some 
good points the Commission cannot take the emotional appeals and 
second guess the Human Rights Commission, the responsible City agency 
with years of experience. 

Commissioner Goosby also said that with the ordinance just passed by 
the Board of Supervisors calling for 30 percent goals and set-asides, 
the Human Rights Commission should hold a meeting with City depart- 
ments to explain what the new responsibilities of each City depart- 
ment are and how the Human Rights Commission anticipates implementing 
the ordinance. 

Commissioner Goosby also thought that each department should receive 
a copy of the ordinance as signed by the Mayor. He suggested that 
Mr. Turpen contact Grant Mickens about a meeting. 

Mr. Turpen said that Julie Yim told him the five-day period for 
compliance terminated on March 27. He said he would contact the 
Human Rights Commission to clarify the language of the rule and 
eliminate the impression that continuances and postponements could be 
granted until an appropriate subcontractor could be found. He said 
that based on Mr. Bouey's comments he would recommend to award the 
contract to the fourth lowest bidder. 



The following item was put over for two meetings. 

6. SPO Airporter Downtown Terminal/Rescission of Previous Resolution 

Resolution rescinding Airports 
Commission resolution no. 79-0369,' 
regarding SPO Airporter 's construction 
of a downtown San Francisco terminal. 

Commissioner Fleishell asked that this item be put over to enable 
some settlement discussions to be commenced. 



Minutes, April 17, 1984, Page 18 



The following items were unanimously adopted. 



7. Airport Motor Coach Service Agreement /Bid Specifications and Pre-Bid 
Conference . 

No. 84-0094 Resolution approving specifications of 

an Airport Motor Coach Service 
Agreement and authorizing staff to 
hold a pre-bid conference for same. 



8. Long Term Parking Analysis 

No. 84-0095 Resolution authorizing staff to begin 

development of an Airport Long Term 
Parking Expansion program, including 
the development of specifications for 
an REP, and the initiation of the 
interviewing and selection process for 
a consultant firm required for the 
feasibility and environmental analysis 
necessary for the program. 

Commissioner Coblentz commented that it makes a great deal of sense 
and that it was about time. 

Commissioner Kadish agreed. 



Shoe Shine Service in Terminals 

No. 84-0096 Resolution approving the 

month-to-month tenancy for the 
shoeshine operators in each Terminal 
until the award of new leases for each 
Terminal service. 



The following items were unanimously adopted as amended. 

10. Transfer of $100,000 to Art Commission for Award of Contract to 

Charles Ross for the Design of a Model with the Option of Entering 
into Final Contract for the Production and Installation of a Skylight 
Prism Sculpture at the South Terminal. 

No. 84-0100 

Commissioner Kadish asked that the phrase "...subject to contract 
approval" be added to the final resolve. She said that the 
Commission has neither seen or approved a contract and to adopt the 
resolution without that proviso would be a mistake. 

Mr. Yuen suggested that it be subject to the approval of the staff 
rather than the Commission. 

Commissioner Kadish agreed that it would be at the approval of the 
committee and the staff. 

Commissioner Goosby asked if samples of Mr. Ross 1 work could be seen. 

Commissioner Kadish responded that samples were available for 
Commission review and were at the meeting. 



Minutes, April 17, 1984, Page 19 



11. Transfer of $3,000 to Art Commission for Contracts with Artist to 
Construct Maquettes for South Terminal Art Enrichment Program. 

No. 84-0101 Artists selected and contract amounts: 

Jerome Kirk $1,500 
Helen Escobedo $1,500 

Commissioner Fleishell asked if the Airport would own the maquettes. 

Commissioner Radish offered the following amendments to the 
resolution. In the second whereas, the third line should read: 
"...can be constructed, (remove the "and") submitted for 
consideration, and returned to the artist." She said that the 
current thinking is that maquettes that are developed are merely idea 
presentations and are the property of the artist and that is why a 
relatively nominal amount is paid. 

Ms. Claire Isaacs, Director of the Art Commission, said that it has 
been the policy to return the maquettes to the artist. 

Commissioner Fleishell said this question was raised several years 
ago and it has been his experience that when an artist is paid for an 
idea he does not retain ownership of a maquette. He said that he had 
asked that Commissioner Bernstein be present when a vote was taken. 

Ms. Isaacs responded that in view of the fact that the art work 
becomes the responsibility of the Art Commission the disposition of 
the maquette would also fall to the Art Commission. 

Commissioner Fleishell disagreed and asked who owns the art at the 
Airport. 

Ms. Isaacs responded that the City owned the art. 

Mr. Turpen said that the Commission took a position in the matter of 
the maquettes two or three years ago. 

Commissioner Kadish said that prior to the Central Terminal, 
maquettes in the North Terminal became the property of the City. 
However, the City never retained the maquettes. The artist kept them 
or the Art Commission retained them or, if they were made of a flimsy 
material, they fell apart. Based on that, it was decided for the 
Central Terminal that a nominal sum would be given to the artist for 
his idea and he would keep the maquette and use it as a working 
model. She said that prior to that time $10,000 might be paid for a 
maquette rather than $1,500. 

Commissioner Coblentz suggested that the following be added to 
Commissioner Radish's proposed resolve: "...and said maquettes shall 
become the property of the City." 

Commissioner Coblentz said that he and Commissioner Radish were very 
excited about the Charles Ross piece. 

Ms. Isaacs asked that the record show that she is not familiar with 
this policy, it has not come up before and she did not attend the 
meeting expecting to address the problem. She said she could not 
comment until she had further information about the procedure, 
understands its history, the policy of the Art Commission and the 
legal ramifications of retaining the artist's work as opposed to 
returning it. 



Minutes, April 17, 1984, Page 20 



I. CONSENT CALENDAR OF ROUTINE ADMINISTRATIVE MATTERS: 

The following items were unanimously adopted. 

12. Forum Communications - Extension of Time 

No. 84-0097 Resolution to modify contract between 

City and Forum Communications, Inc. 
for Computerized Ground Transportation 
Information System, extending term of 
contract by three months. 

No additional cost to the City is 
incurred by this modification. 



13. Approval of Sublease between Trans World Airlines, Inc. and U.S. Air 

No. 84-0098 Resolution approving the sublease of 

certain South Terminal space by Trans 
World Airlines, Inc. to U.S. Air. 



14. Approval of Sublease between Air California and Alaska Airlines 

No. 84-0099 Resolution approving the sublease of 

North Terminal office space from Air 
California by Alaska Airlines. 



15. Tenant Improvement: Airport Hilton 

Redecorate International Ballroom Facility 
T-2852 

No. 84-0102 Resolution approving plans and 

specifications and authorizing 
construction. 

No rental credit. 



16. Tenant Improvement: United Airlines Maintenance and Operations 
Center - Modify Boeing 727 Maintenance Facility Building 72 
T-2851 - $500,000. 

No. 84-0103 Resolution approving plans and 

specifications and authorizing 
construction. 

No rental credit. 



17. Bid Call: Contract No. 1600 

Pavement Reconstruction Road R16 

No. 84-0104 Resolution approving the scope, budget 

and schedule for Airport Contract No. 
1600, Pavement Reconstruction Road 
R/16 and authorizing the Director of 
Airports to call for bids when ready. 



Minutes, April 17, 1984, Page 21 



18. Approval of Children's Art Exhibit 



No. 84-0105 



Proposal from Congressman Tom Lantos 
and the San Mateo Unified School 
District for exhibition, "My American 
Dream" , North Terminal , May 24 to 
September 15, 1984. 



19. Ratification of Declaration of Emergency - 
Upper Level Roadway 



No. 84-0106 



Proposed resolution declaring the 
existence of an emergency on the upper 
level roadway, directing the Director 
of Airports to effect the necessary 
repairs and requesting the Controller 
to certify funds needed to effect such 
repairs - $4,000. 



20. Travel Request: Asphalt Institute Short Course on Flexible Pavements 
- May 1, 1984 



No. 84-0089 



Consideration for Chung Tarn, Airport 
Engineer, to attend the Asphalt 
Institute's Short Course on Flexible 
Pavements to be held in Denver, 
Colorado May 1 to 3, 1984. 

Total cost is estimated at $1,000. 



J. COMMUNICATIONS: 

There was no discussion by the Commission. 



K. TRAILING CALENDAR: 

There was no discussion of trailing calendar items. 



M. ADJOURNMENT: 

There being no further calendared business before the Commission the 
meeting adjourned at 3:30 P.M. ^\ 



jUA 



u 



Jean Caramatti 
Commission Secretary 



Minutes, April 17, 1984, Page 22 



SAN FRANCISCO 
AIRPORTS COMMISSION 




MINUTES 



MAY 1, 1984 



DOCUMENTS DEPT. 
OCT 1 9 1984 

SA.M FRANCISCO 

pii :i \r < IRRAPY 



DIANNE FEINSTEIN, MAYOR 

COMMISSIONERS 

MORRIS BERNSTEIN 

President 

WILLIAM K. COBLENTZ 

Vice-President 

RUTH S. KADISH 

DR. Z.L. QOOSBY 

J. EDWARD FLEISHELL 

LOUIS A.TURPIN 

Director of Airports 

San Francisco International Airport 
San Francisco, California 94128 



Index 

of the Minutes 

Airports Commission 

May 1, 1984 



Calendar 


Age 


nda 




Section 


Item 


Title 


A. 






CALL TO ORDER: 


B. 






ROLL CALL: 


C. 






ADOPTION OF MINUTES: 


D. 






DIRECTOR'S REPORTS: 



Resolution 
Number 



84-0107 



Page 

3 
3 
3 



Airports Commission Rules 
and Regulations (revision) 

Valet Parking Service Update 

ITEMS INITIATED BY COMMISSIONERS: 

POLICY REVIEW: 



3 

4 

4-5 



Review and Approval of 

Policies: Holiday Festival, 84-0108 

Exhibition Program and 84-0109 

Concessions 84-0110 

ITEMS RELATING TO ADMINISTRATION, 
OPERATIONS AND MAINTENANCE: 



4. Airport Informational Brochure 

5. Rental Car Agreement 

Modification 



34-0111 
U-0112 
54-0113 
14-0114 

14-0115 



6-7 



6. Airport Contract No. 1369 

Pavement Overlay - Upper 

Level Road, South Terminal 84-0116 

7. Resolution rescinding author- 

ity to transfer $100,000 to 

Art Commission for award of 

Contract to Charles Ross, 

Artist 84-0117 



8. Tenant Improvement: Host 
International Inc. - 
Temporary Food Facility 
South Terminal, T-2864 
$99,500 



84-0118 



Minutes, May 1, 1984, Page 1 



Calendar 
Section 



Agenda 
Item 



Title 



Resolution 
Number 



Page 



H. 



I. 
J. 
K. 

L. 



9. Modification of Agreement for 
Legal Services 
Morrison & Foerster-$25, 000 

10. Donation of Photographic Murals 

CONSENT CALENDAR OF ROUTINE 
ADMINISTRATIVE MATTERS: 

11. Approval of Sublease between 

American Airlines, Inc. and 
Frontier Horizon, Inc. 

12. Professional Service Agreement 

Dames and Moore 

13. Approval of Williams & Burrows 

Inc. request to substitute 
steel subcontractor on 
Contract 1410ABCD - No 
additional cost 

14. Statistical Adjustments 

1983-84-Joint Use Billing 
Under New Lease and Use 
Agreement 

15. Federal Aviation Administra- 

tion (FAA) Seminar 

16. Travel Authorization - 

California League of 
Cities Sacramento 
Internship 

COMMUNICATIONS: 

TRAILING CALENDAR: 

CLOSED SESSION: 

ADJOURNMENT: 



84-0119 
84-0120 



84-0121 



84-0122 



84-0123 



84-0124 



84-0125 



84-0126 



9 
10 
10 
10 
10 



Minutes, May 1, 1984, Page 2 



Minutes 
of the 

Airports Commission Meeting 

May 1, 1984 



CALL TO ORDER: 

The regular meeting of the Airports Commission was called to order at 
2:00 P.M. in Room 282, City Hall, San Francisco, Ca. 



B. ROLL CALL: 



Present: Commissioners William K. Coblentz, 

Ruth S. Kadish, Z. L. Goosby 

Absent: Commissioners Morris Bernstein, 

J. Edward Fleishell 



C. ADOPTION OF MINUTES: 

The minutes of the regular meeting of February 7, 1984 were adopted by 
order of the Commission Vice President. 

No. 84-0107 



DIRECTOR'S REPORTS: 

1. Airports Commission Rules and Regulations (revision) 

Report on the latest draft of the 
revision of the Airports Commission 
Rules and Regulations, orig- 
inally adopted October 17, 1972. 

Mr. Lou Turpen, Airport Director, explained that his memo to the 
Commission lists the page number, the rule number and the title of 
the rule that has been changed. He said he would be interested in 
any comments or suggestions the Commission might have on 
amendments or changes. 



Minutes, May 1, 1984, Page 3 



Valet Parking 

Mr. Turpen said that the report is self-explanatory. Staff would 
like to return to the Commission at the first meeting in June with 
an annual report. He said that traditionally January, February 
and March are not good months but that over the year the operation 
will make money. 



E. ITEMS INITIATED BY COMMISSIONERS: 

Commissioner Kadish asked, in Commissioner Bernstein's absence, 
that the Commission accept a mural map of the world from Ms. Edith 
Hamlin to be donated to the Friends of Airports Programs. Mr. 
William E. McDonnell, President of the Friends of Airports 
Programs, has asked the Airports Commission to accept this as a 
gift to the Airport to be placed in the Airport. She said that 
Howard Friedman, the Commission's architectural consultant, has 
seen the 18' x 35' mural and determined that it should be placed 
on the entry wall of the upper level of the Central Terminal, 
immediately adjacent to the North Connector. He said it would 
enhance the Airport. 

Commissioner Goosby asked if it was considered a permanent display. 

Commissioner Kadish responded that it would be a permanent display 
and added that the mural is on vinyl and will be placed on the 
wall in the same manner that vinyl is placed. 

Commissioner Goosby said that the Commission has a policy 
prohibiting permanent displays. 

Commissioner Kadish responded that the policy refers to the 
Exhibition Program and added that this is a gift to the Airport. 

Commissioner Goosby said that he has no objection to it but would 
like it to be consistent with Commission policy. 

Commissioner Coblentz recommended putting the item over in order 
to prepare an appropriate resolution. 

Commissioner Kadish said that if the gift was accepted today the 
Art Commission will approve it at their meeting next Monday. She 
added that the Art Commission meets once a month. 

Commissioner Coblentz responded that questions have been raised. 

Commissioner Goosby suggested that the Commission might want to . 
change its policy. 

Commissioner Coblentz said that the Commission is enthusiastic 
about its acceptance however a proper resolution should be drafted. 

Commissioner Kadish said she asked Ms. Gittens, Deputy Director 
for Business and Finance, how long it takes to pay vendors and 
that Ms. Gittens complied with a request for information on 
payment of invoices. She said that she has been approached by a 
number of vendors protesting the amount of time it takes to be 



Minutes, May 1, 1984, Page 4 



paid. She said that Ms. Gittens arbitrarily chose four primary 
types of payments (direct, contract, purchase orders and voucher 
payments) that the Airport makes. Commissioner Kadish said that, 
based on the information she received, it takes anywhere from 
three weeks to four or five months for bills to be paid and that 
most of the difficulty is due to the fact that payments do not 
come directly from the Airport but must be authorized by City Hall. 

Commissioner Kadish wondered if it would not be appropriate to 
determine where the bottlenecks lie and see if that could be used 
as an aid to City Hall in expediting payment. 

Commissioner Goosby said that when he was on the School Board they 
asked the Purchaser to let them pay their own bills thereby 
expediting payment and reducing the cost. He felt that the 
Airport should consider a similar approach. 

Commissioner Kadish said that she would not be averse to beginning 
with the first step if the Commission agreed. 

Mr. Turpen said staff would look into it. 

Commissioner Goosby asked staff to look into the feasibility of 
using an electronic information display in conjunction with a 
kiosk. He said it was his understanding that a request for 
proposals was sent out on the static, non-illuminated kiosk. 

Mr. Turpen said he would instruct staff to explore this. He said 
that at the very least there should be a static display system for 
exper- ienced travelers who know where they want to go and what 
they are looking for in the Airport. On the other hand, the 
Airport could have an interactive display combining both systems. 

Commissioner Kadish said that she investigated the interactive 
system in various places in the City and found that it was very 
favorably received. She felt that any system being considered 
must be in a cabinet with a design that will blend with the 
Airport and be approved by Mr. Friedman and the Design Review 
Committee. She said that the number and placement of units must 
also go before the Design Review Committee and the Commission for 
approval. 

Commissioner Goosby asked if the state was contributing any money 
to this. 

Mr. Turpen said that the state was putting in the transportation 
interface which is going into the North Terminal. He said it is 
presently being programmed and should be ready in June. 

Mr. Sheldon Fein, Landside Operations, said that this system will 
show all ground transportation services offered at the Airport. 

Mr. Turpen said that staff will take a look at the system and 
report back to the Commission. 



Minutes, May 1, 1984, Page 5 



F. POLICY REVIEW: 

The following items were unanimously adopted. 

3. Review and Approval of Policies: Holiday Festival, Exhibition 
Program and Concessions 

No. 84-0108 
84-0109 
84-0110 

Mr. Turpen said that Commissioner Kadish made one change on the 
Exhibition Program resolution at the last meeting: "RESOLVED, 
That it is the policy of the Airports Commission to include only 
temporary exhibitions as part of the exhibition program." 



G. ITEMS RELATING TO ADMININISTRATION , OPERATIONS AND MAINTENANCE: 

The following item was presented to the Commission for consideration. 

4. Airports Informational Brochure 

Rough draft copy of the San 
Francisco Airport Informational 
Brochure for the Commission's 
approval prior to f inalization. 

Mr. Turpen said that staff received instructions from the 
Commission to develop a brochure similar in size and structure to 
that of Los Angeles. He said the Commission has the text of the 
brochure and the actual layout is on the board. Mr. Turpen said 
that contrary to the memo to the Commission there is no need to 
approve the text as it needs more work and he does not want to 
prematurely go ahead on the brochure. 

Commissioner Coblentz thought the brochure cover was dull com- 
pared to the cover of the Los Angeles brochure. He hoped that it 
could be more illuminated. He said SFO is different from most 
airports and we have to show it, especially in the artistic 
sense. 

Commissioner Kadish agreed with Commissioner Coblentz saying it 
was a status quo, traditional approach. She said the Commission 
approved $40,000 to develop a logo for the Airport for the open- 
ing of the Central Terminal and thought that it would also be 
used for the brochure. 

Commissioner Kadish read an excerpt from a letter she received:- 
"...the standard to measure all airports is beyond a doubt San 
Francisco International." Commissioner Kadish did not feel that 
the brochure lived up to that statement. 

Commissioner Goosby said there were some items in the brochure 
that were ambiguous. 

Commissioner Coblentz asked that he take them up with staff at a 
later date. 



Minutes, May 1, 1984, Page 6 



Commissioner Goosby thought that four foreign languages should be 
selected and that they should be chosen from those countries 
bringing in the greater number of passengers. 

Mr. Turpen said those languages would be Spanish, Chinese, 
Japanese and Tagalog. 

Commissioner Coblentz asked if there were any comments from the 
airlines. There were none. 



The following items were unanimously adopted. 

5. Rental Car Agreement Modification 

No. 84-0111 Hertz Rent-A-Car 

84-0112 Avis Rent-A-Car 

84-0113 National Car Rental 

84-0114 Budget Rent-A-Car 

84-0115 Dollar Rent-A-Car 

Commissioner Coblentz said that the Commission has received 
communications from the rental car agencies and any questions 
have been cleared up. 

Mr. Turpen said there is one resolution before the Commission and 
asked that the Commission adopt five (5) resolutions, one for 
each of the rent-a-car companies. 

Commissioner Kadish moved that five (5) resolutions be adopted 
and Commissioner Goosby seconded the motion. 

Commissioner Goosby asked when the agreement expires. 

Ms. Angela Gittens, Deputy Director for Business and Finance, 
responded that it expires tomorrow. 

Commissioner Goosby asked if they were bid at one time. 

Mr. Turpen responded in 1978. 

Ms. Gittens explained that these are the first of five, one-year 
options. 

Commissioner Kadish said there was a sixth rent-a-car company but 
they are no longer in operation at the Airport. 

Mr. Turpen responded that unsuccessful attempts were made to bid 
that operation. 



6. Airport Contract No. 1369 

Pavement Overlay - Upper Level Road, South Terminal 

No. 84-0116 Resolution awarding Airport 

Contract No. 1369, Pavement 
Overlay, Upper Level Road, South 
Terminal, to Custom Surfacing, 
Inc., in the amount of $103,610.00 

Construction budget is $105,000.00 

Contract time is 40 calendar days. 



Minutes, May 1, 1984, Page 7 



7. Resolution Rescinding Authority to Transfer $100,000 to Art 
Commission for Award of Contract to Charles Ross, Artist. 

No. 84-0117 Artist has informed Art Commission 

that he will not provide 
installation of his prism 
sculpture. Joint Committee 
rescinded approval of contract 
with Charles Ross on April 18, 
1984. 



Tenant Improvement: Host International Inc. 

Temporary Food Facility South Terminal, T-2864-S99, 500. 

No. 84-0118 Resolution approving the plans and 

specifications for a temporary 
food facility in the South 
Terminal while Host refurbishes 
its existing facilities. 



9. Modification of Agreement for Legal Services 
Morrison and Foerster - $25,000. 

No. 84-0119 Resolution approving Modification 

of Agreement with Morrison & 
Foerster for legal services in 
connection with litigation of 
Lorrie's Travel & Tours vs. SFO 
Airporter and City and County of 
San Francisco, et al. to increase 
maximum amount of compensation by 
$25,000 to a total sum of $25,000. 

Commissioner Coblentz called attention to an error and indicated 
that the $25,000 increase would leave a total sum of $75,000, not 
$25,000. 



10. Donation of Photographic Murals 

No. 84-0120 Donation of twenty-four photo- 

graphic murals by Mr. Robert 
Cameron, author and photographer 
of the books Above San Francisco 
and Above Yosemite. 



Commissioner Coblentz thought that the photographs of San 
Francisco were wonderful. 



H. CONSENT CALENDAR OF ROUTINE ADMINISTRATIVE MATTERS: 

The following items were unanimously adopted. 

11. Approval of Sublease between American Airlines, Inc. and Frontier 
Horizon, Inc. 

No. 84-0121 Resolution approving the sublease 

of certain North Terminal space by 
American Airlines, Inc. to 
Frontier Horizon, Inc. 

Minutes, May 1, 1984, Page 8 



12. Professional Services Agreement - Dames and Moore 

No. 84-0122 Resolution approving the 

employment of Dames and Moore for 
professional services in 
connection with design of Airport 
Perimeter Dike. 

13. Approval of Williams & Burrows Inc. Request to Substitute Steel 
Subcontractor on Contract 1410ABCD-No Additional Cost 

No. 84-0123 Williams & Burrows Inc. has 

requested to substitute San Jose 
Steel Co., Inc. for Judson Steel 
Corp. as the reinforcing steel 
subcontractor on Airport Contract 
1410ABCD (South Terminal Phase 1 
Renovation) at no additional cost 
to the Airport. San Jose Steel 
Corp., Inc. has agreed to provide 
the same materials and service to 
Williams & Burrows Inc. as Judson 
Steel Corp. 



14. Statistical Adjustments 1983-84 - Joint Use Billing Under New 
Lease and Use Agreement 

No. 84-0124 Resolution adjusting 1983-84 Joint 

Use Billing pursuant to Section 
101. W of the New Airline-Airport 
Lease and Use Agreement for 
British Airtours, Inc. 



15. Federal Aviation Administration (FAA) Seminar 

No. 84-0125 Airport staff attendance at FAA 

Seminar on May 3-4, 1984, at the 
Sheraton River House, Miami 
International Airport in Miami, 
Florida. 



16. Travel Authorization - California League of Cities 
Sacramento Internship 

No. 84-0126 Resolution approving participation 

of two members of Business & 
Finance staff in California League 
of Cities Sacramento Internship 
Program, May 14 & 15, 1984. 
Approximate cost: $320.00. 



Minutes, May 1, 1984, Page 9 



I. COMMUNICATIONS: 

There was no discussion by the Commission. 



J. TRAILING CALENDAR: 

There was no discussion of trailing calendar items. 



K. CLOSED SESSION: 

There was no closed session. 



L. ADJOURNMENT: 

There being no further calendared business before the Commission the 
meeting adjourned at 2:20 P.M. 



/ 

Jean Caramatti 
Commission Secretary 



Minutes, May 1, 1984, Page 10 



SAN FRANCISCO 
AIRPORTS COMMISSION 




MINUTES 



DOCUMENTS DEPT. 

MAY 15, 1984 OCT 19 1984 

SAN FRANCISCO 
ptlRi \r i IRRARV 



DIANNE FEINSTEIN, MAYOR 

COMMISSIONERS 

MORRIS BERNSTEIN 

President 

WILLIAM K. COBLENTZ 

Vice-President 

RUTH S. KAOISH 

DR. Z.L. GOOSBY 

J. EDWARD FLEISHELL 

LOUIS A.TURPIN 

Director of Airports 

San Francisco International Airport 
San Francisco, California 94128 



Index 

of the Minutes 

Airports Commission 

May 15, 1984 



Calendar 


Age 


nda 




Section 


It 


em 


Title 


A. 






CALL TO ORDER: 


B. 






ROLL CALL: 


C. 






DIRECTOR'S REPORTS 



Resolution 

Number Page 



1. Progress Report on the 1-380 

Highway Construction 

Program 4 

2. Landing Fees and Surety Bond 

Analysis 5 

3. Temporary Exhibitions Pro- 

gram - Verbal Report 5 

D. ITEMS INITIATED BY COMMISSIONERS: 5 

E. POLICY: 

4. SFO Airporter Downtown 

Terminal 84-0128 6 

F. ITEMS RELATING TO ADMINISTRATION, 
OPERATIONS AND MAINTENANCE: 

5. Airport Improvement Program 

(AIP No. 3) Project Appli- 
cation for $6,608,273.00 84-0129 6 

6. Resolution Awarding Lease - 

Principal Concession Lease 

at the "Hub" in the North 

Terminal 84-0130 6 

7. $85,000 Contract with the 

Museum Society, Fine Arts 

Museums 84-0131 6-7 

8. Resolution Accepting World Map 

from Ms. Edith Hamlin through 
the Friends of Airport Programs. 
Final Acceptance subject to Art 
Commission and Board of Super- 
visors Approvals. 84-0132 



Minutes, May 15, 1984, Page 1 



Calendar Agenda Resolution 

Section Item Title Number page 

9. Exhibition Sponsored by the 

San Francisco Host Committee 

for the Democratic Convention 7 

10. Award of Contract 1410E,F, 

South Terminal Renovation 

Phase II, to Tutor-Saliba 

Corporation in the total 

amount of $32,557,000 84-0127 7 

11. Award of Contract 1481, 

High Voltage Distribution, 

International Terminal and 

South Terminal, to Fischbach 

& Moore, Inc., San Francisco, 

CA in the total amount of 

$371,111. 84-0133 7-8 

12. Award of Contract No. 1536- 

Lower Roof Replacement of 

Maintenance Building 84-0134 8 

G. CONSENT CALENDAR OF ROUTINE 

ADMINISTRATIVE MATTERS: 

13. Declaration of Emergency for 

Repairing Damages due to 

Earthquake on April 24, 1984 

$46,000 84-0135 8 

14. Approval of Sublease between 

Pan American Airlines, Inc. 

and National Car Rental 

System, Inc. 84-0136 8 

15. Bid Call: Airport Contract 

No. 1211 - Renovation of 

Existing FAA Facilities 

and Approving Construction 

Budget of $380,000 plus 

$28,500 for Contingencies. 

Renovation Required as per 

1977 Agreement with FAA 84-0137 8 

16. Bid Call: Airport Contract 

No. 1594 - Replacement of 

Gate Room Doors 84-0138 8-9 

17. Bid Call: Airport Contract 

No. 1474 - Demolition of 

Old Shuttle Bus Maintenance 

Building and Site Improvements 84-0139 9 

18. Award of Airport Contract 

No. 1591 - Pavement Overlay 

of V.I. P. Loading Area 84-0140 9 

19. Award of Contract No. 1591 

Pavement Construction of 

Taxiway 'R' at Plot 12 84-0141 10 



Minutes, May 15, 1984, Page 2 



Calendar Agenda Resolution 

Section Item Title Number Page 



20. Award of Contract No. 1600 

Pavement Reconstruction, 

Road R-16 84-0142 10 

21. Airport Contract No. 1494 

Emergency Roofing Repairs 
Type 2 Modification Exten- 
sion of Time 84-0143 10 

22. Close-out of Professional 

Services Contract with 

Myles Stevens and Associates 

and Authorization to Make 

Final Payment of $232.04 

for Services Performed 

Related to Contract 1234, 

Phase III Landscaping 84-0144 10 

23. Statistical Adjustment 1983-84 

Joint Use Billing Under New 

Lease and Use Agreement 84-0145 10 

24. Statistical Adjustment 1983-84 

Joint Use Billing Under New 

Lease and Use Agreement 84-0146 10 

25. Tenant Improvement: 

Lufthansa German Airlines 

Cargo Building 7 - 

Modifications to Space 

Occupied by Permit 84-0147 11 

26. Tenant Improvement: U.S. 

Customs Remodeling at 

Northwest Orient Cargo 

Building 84-0148 11 

27. Tenant Improvement: 

United Air Lines 
Refurbish Flight Oper- 
ations Offices - North 
Terminal B Hub n -3rd Level 84-0149 11 

28. Authorization for Course 

Attendance NAUI Assistant 

Instructor Certification 

Course Firefighters 

Joseph M. Wilson and 

John J. McManus . H 

H. COMMUNICATIONS: H 

I. TRAILING CALENDAR: 11-12 

J. CLOSED SESSION: 4 

K. ADJOURNMENT: 12 



Minutes, May 15, 1984, Page 3 



Minutes 

of the 

Airports Commission Meeting 

May 15, 1984 



CALL TO ORDER: 

The regular meeting of the Airports Commission was called to order at 
2:00 P.M. in Room 282, City Hall, San Francisco, Ca. 



B. ROLL CALL: 
Present : 



Commissioners Morris Bernstein, 
Ruth S. Kadish, Z. L. Goosby, 
J. Edward Fleishell. 



Absent : 



Commissioner William K. Coblentz 



CLOSED SESSION: 

The meeting adjourned at 2:01 P.M. to go into closed session and 
reconvened at 2:12 P.M. 



C. DIRECTOR'S REPORTS: 

1. Progress Report on 1-380 Highway Construction Program 

Report summarizing the highlights of 
the 1-380 highway construction program 
and related mitigation measures. 

Mr. Jason Yuen, Acting Director of Airports, explained that this is a 
routine quarterly report and unless the Commission wanted a verbal 
report he recommended its acceptance. He said that Sheldon Fein was 
present in the event the Commission had any questions or desired a 
summary of the report. 



Commissioner Goosby commented that some of the items on the trailing 
calendar did not have dates and asked that it be taken care of. 

Mr. Yuen said he would take care of it. 



Minutes, May 15, 1984, Page 4 



Landing Fees and Surety Bond Analysis 

Report outlining the current system of 
landing fees billing and proposing a 
revised system with a concurrent re- 
vision in surety bond requirements. 

Mr. Yuen asked Ms. Angela Gittens, Deputy Director of Business and 
Finance, to present this item. 

Ms. Gittens said that the Commission had previously been presented 
with the concept of increasing the performance bonds for airlines. 
This was presented to the Airline Affairs Committee who took it under 
advisement. The Committee suggested Airport staff look into develop- 
ing a business interruption insurance concept for potential defaults. 
Ms. Gittens said that staff was looking into it although it was not 
as promising as it once appeared. 

Commissioner Goosby asked if staff was in the process of developing 
new procedures so there isn't a four month lag. 

Ms. Gittens responded that staff was looking into increasing the 
performance bonds for non-Lease and Use Agreement airlines but was 
met with a lot of resistance. It has been decided that the non-Lease 
and Use Agreement airlines will pay their landing fees in advance. 
Staff is presently working on such a permit. 

Commissioner Kadish said that a resolution would be needed. 

Mr. Don Garibaldi, Airports General Counsel, said that these are 
permits issued by the Director and is an administrative procedure. 

Commissioner Kadish responded that this matter pertains to policy set 
by the Commission to protect the Airport against loss of revenue in 
the event of a business failure in addition to setting a business 
procedure. 

Mr. Yuen said that a resolution could be presented to the Commission 
at the next meeting. 

Commissioner Fleishell recommended that staff begin typing permits to 
avoid delay. He said that there will be no opposition from the 
Commission. 



The following item was put over. 

3. Temporary Exhibitions Program - Verbal Report 

Mr. Yuen said the item pertains to the provision of posters from the 
Democratic National Convention Committee. Staff has been informed 
that the posters are not ready for exhibiton. 



D. ITEMS INITIATED BY COMMISSIONERS: 

There were no items initiated by Commissioners. 



Minutes, May 15, 1984, Page 5 



E. POLCIY: 

The following item was unanimously adopted. 

4. SFO Airporter Downtown Terminal 

No. 84-0128 Resolution rescinding Airports 

Commission Resolution No. 79-0369, 
regarding SFO Airporter' s construction 
of a downtown San Francisco terminal. 

Commissioner Fleishell asked that the record show that counsel 
strongly advised moving ahead. 



ITEMS RELATING TO ADMINISTRATION, OPERATIONS AND MAINTENANCE: 

The following items were unanimously adopted. 

5. Airport Improvement Program (AIP No. 3) Project Application for 
$6,608,273.00. 

No. 84-0129 Resolution approving the submission of 

Project Application for AIP Fund of 
$6,608,273.00 and requesting Board of 
Supervisors to authorize filing of 
Project Application and to accept the 
resulting grant offer. 

Mr. Yuen explained that this was a request to the Board of 
Supervisors for approval to apply for FAA funds for airfield 
projects. Mr. Yuen said this is done every year. 



Resolution Awarding Lease - Principal Concession Lease at the "Hub" 
in the North Terminal. 

No. 84-0130 Resolution awarding lease of Principal 

Concession Lease and Agreement for 
Retail Merchandising Sales at the 
"Hub" in the North Terminal Building 
to Duty Free Shoppers. 

Ms. Gittens said a $l-million bid was received on the North Terminal 
"Hub" concession. She said that the Commission may want to put the 
item over until the next meeting because Human Rights Commission 
approval has not yet been received. If the lease is awarded pending 
Human Rights Commission approval, approximately one week will be 
gained in the process. 

Ms. Gittens said that Duty Free Shoppers has until May 30 to submit 
their sub-tenant list but have indicated that they will be ready by 
May 23. 



$85,000 Contract with the Museum Society, Fine Arts Museums 

No. 84-0131 Contract for $85,000 with the Museum 

Society, Fine Arts Museums of San 
Francisco for the purpose of providing 
and implementing Temporary Exhibitions 
at San Francisco International Airport 
for the fiscal year 1984-85. 



Minutes, May 15, 1984, Page 6 



Mr. Yuen said that this item is a request for the transfer of fees to 
the Fine Arts Museums for the Airport's Exhibition Program. He said 
that for the last four years the fee has been $80,000 and this is the 
first year an increase to $85,000 has been requested. He said the 
Exhibition Program is doing a fine job for the Airport and a lot of 
good press has been received. 



Resolution Accepting World Map from Ms. Edith Hamlin through the 
Friends of Airport Programs. Final Acceptance Subject to Art 
Commission and Board of Supervisors Approvals. 

84-0132 

Commissioner Fleishell said that there should not be a commitment in 
the acceptance document to display the mural at any particular place, 
time or for any period of time. He assumed that was customary. 

Mr. Yuen said that was a good point. 

Commissioner Kadish asked if the Airport had to take this before the 
Board of Supervisors or was that the responsibility of the Art 
Commission. 

Mr. Yuen responded that the Art Commission has already given their 
approval and the Airport must take it to the Board of Supervisors. 



The following item was put over. 

9. Exhibition Sponsored by the San Francisco Host Committee for the 
Democratic Convention. 

Mr. Yuen said the item pertains to the provision of posters from the 
Democratic National Convention Committee. Staff has been informed 
that the posters are not ready for exhibition. 



The following item was unanimously adopted. 

10. Award of Contract 1410E,F, South Terminal Renovation Phase II, to 
Tutor-Saliba Corporation in the total amount of $32,557.00 

84-0127 Amount includes base bid of 

$30,478,000 plus selected alternates 
totaling $2,079,000. Budget for this 
work is $38,730,000. Six bids were 
received on April 18, 1984, with base 
bids ranging from $30,478,000 to 
$33,395,000. 

Mr. Yuen told the Commission that this is the largest contract in the 
South Terminal to date and that it is quite a bit under budget. He 
said that no protests were received. He also told the Commission 
that it has received Human Rights Commission approval. 



11. Award of Contract 1481, High Voltage Distribution, International 
Terminal and South Terminal, to Fischbach and Moore, Inc., San 
Francisco, Ca. in the total amount of $371,111. 

No. 84-0133 Seven bids were received on April 24, 

1984. Bids ranged from $371,111 to 
$580,000. Bid tabulation available 
from Bureau of Planning and 
Construction. 



Minutes, May 15, 1984, Page 7 



Mr. Yuen explained that this contract was to remove PCB transformers 
in the terminals. He said that this is the first City contract to 
remove the transformers. 



12. Award of Contract No. 1536-R - Lower Roof Replacement of Maintenance 
Building 

No. 84-0134 Resolution awarding Contract No. 

1536-R, Lower Roof Replacement of 
Maintenance Building, to Bryant 
Organization, Inc., 3229 San Leandro 
Street, P.O. Box 24081, Oakland, CA 
94623, in the amount of $152,582.00 
base bid only. 

Three bids were received on April 24, 
1984, with amounts ranging from 
$152,582 to $174,533. 



Construction time is 60 calendar days. 



G. CONSENT CALENDAR OF ROUTINE ADMINISTRATIVE MATTERS: 

The following items were unanimously adopted. 

13. Declaration of Emergency for Repairing Damages Due to Earthquake on 

April 24, 1984 - $46,000 

No. 84-0135 



14. Approval of Sublease between Pan American Airlines, Inc. and National 
Car Rental System, Inc. 

No. 84-0136 Resolution approving the sublease of 

office space located in the Pan 
American Administration building from 
Pan American Airlines, Inc. by 
National Car Rental System, Inc. 



15. Bid Call: Airport Contract No. 1211, Renovation of Existing FAA 

Facilities and Approving Construction Budget of $380,000 plus $28,500 
for Contingencies. Renovation Required as per 1977 Agreement with FAA 

No. 84-0137 



16. Bid Call: Airport Contract No. 1594 - Replacement of Gate Room Doors 

No. 84-0138 Resolution approving scope, budget and 

schedule for Contract No. 1594 and 
authorizing the Director of Airports 
to call for bids when ready. 

The work consists of removing the 
existing sliding doors in the frontal 
gate rooms in eight different loca- 
tions throughout the North Terminal 
and replacing them with swinging doors. 

Contract time is 60 calendar days. 



Minutes, May 15, 1984, Page 8 



Commissioner Bernstein said that Commissioner Kadish wanted an 
explanation of this item. 

Mr. Dennis Bouey, Deputy Director for Facilities, Operations and 
Maintenance, said these doors were specially made for the North 
Terminal. He said that they are very heavy and take eight men to 
move. He explained that when the doors were made the Airport was 
given a supply of parts but they are now obsolete. He said that he 
thought someone could be found to machine new parts however with the 
weekly construction and maintenance problems, the complaints and 
overtime that is sometimes needed to repair them it would be more 
efficient to replace them. 

Commissioner Goosby asked if these were run on a motor. 

Mr. Bouey responded that they were not and estimated their weight at 
several hundred pounds a piece. 

Commissioner Goosby asked what the rationale of the architect was in 
recommending these doors. 

Mr. Bouey said that although the doors were installed before he began 
working at the Airport, records indicate that the contractor, at that 
time, pointed out to the architect that these doors break down. The 
contractor offered, at the time of construction, to install the same 
type of door found on the egress at no extra charge to the Airport. 
The Airport architects rejected it and proceeded with the doors 
currently there. 

Commissioner Fleishell asked if we have a continuing claim with the 
Airport architects. 

Mr. Garibaldi responded that we do however he assumed that the 
Airport concurred with the recommendation or it would not have been 
done. 



17. Bid Call: Airport Contract No. 1474 - Demolition of Old Shuttle Bus 
Maintenance Building and Site Improvements. 

No. 84-0139 Resolution approving the scope, budget 

and schedule for Airport Contract No. 
1474, Demolition of Old Shuttle Bus 
Maintenance Building and Site 
Improvements and authorizing the 
Director of Airports to call for bids 
when ready. 

The work consists of demolishing the 
old Shuttle Bus Maintenance Building 
and paving and draining the area 
vacated by the demolition in order to 
provide adequate parking for the buses. 

Contract time is 60 calendar days. 



18. Award of Airport Contract No. 1591, Pavement Overlay of V.I. P. 
Loading Area 

No. 84-0140 Resolution awarding contract No. 1591, 

Pavement Overlay of V.I. P. Loading 
Area, to Lowrie Paving Co., Inc., 1321 
Lowrie Avenue, South San Francisco, CA 
in the amount of $94,100.00 

Six bids were received on April 24, 
1984, with bid amounts ranging from 
$94,100 to $122,020. 

Construction time is 21 calendar days. 
Minutes, May 15, 1984, Page 9 



19. Award of Contract No. 1592, Pavement Construction of Taxiway 'R' at 
Plot 12 

No. 84-0141 Resolution awarding Contract No. 1592, 

Pavement Construction of Taxiway 'R' 
at Plot 12, to Lowrie Paving Co., 
Inc., 1321 Lowrie Avenue, South San 
Francisco, CA in the amount of 
$87,475.00 

Four bids were received on April 25, 
1984, with bid amounts ranging from 
$87,475 to $102,010. 

Construction time is 30 calendar days. 



20. Award of Contract No. 1600, Pavement Reconstruction, Road R-16 

No. 84-0142 Resolution awarding Contract No. 1600, 

Pavement Reconstruction, Road R-16, to 
G. Bortolotto and Company, 869 Lurline 
Drive, Foster City, CA 94404, in the 
amount of $43,950. 

Four bids were received on May 1, 
1984, with bid amounts ranging from 
$43,950 to $65,920. 

Construction time is 12 calendar days. 

21. Airport Contract No. 1494, Emergency Roofing Repairs Type 2 
Modification Extension of Time 

No. 84-0143 Resolution approving Type 2 

Modification extending the completion 
date of this contract from June 30, 
1984 to December 31, 1984 at no 
additional cost to the City. 



22. Close-out of Professional Services Contract with Myles Stevens and 
Associates and Authorization to Make Final Payment of $232.04 for 
Services Performed Related to Contract 1234, Phase III Landscaping. 

No. 84-0144 



23. Statistical Adjustment 1983-84 Joint Use Billing Under New Lease and 
Use Agreement. 

No. 84-0145 Resolution adjusting 1983-84 joint use 

billing pursuant to section 101. W of 
the New Airline - Airport Lease and 
Use Agreement for Aerostar Airlines, 
D.B.A. Pacific Interstate Airlines. 



24. Statistical Adjustment 1983-84 Joint Use Billing Under New Lease and 
Use Agreement 

No. 84-0146 Resolution adjusting 1983-84 joint use 

billing pursuant to section 101. W of 
the New Airlines - Airport Lease and 
Use Agreement for Dash Air Corporation. 



Minutes, May 15, 1984, Page 10 



25. Tenant Improvement: Lufthansa German Airlines, Cargo Building 7 
Modifications to Space Occupied by Permit 



No. 84-0147 



Resolution approving plans and 
specifications and authorizing 
construction $200,000.00 - T-2866 



26. Tenant Improvement: U.S. Customs Remodeling at Northwest Orient 
Cargo Building 



No. 84-0148 



Resolution approving plans and 
specifications and authorizing 
construction - $150,000.00 - T-2854, 



No. rental credit. 



27. Tenant Improvement: United Airlines, Refurbish Flight Operations 
Offices - North Terminal "Hub" - 3rd Level 



No. 84-0149 



Resolution approving plans and 
specifications and authorizing 
construction $90,000.00 - T-2863. 



No rental credit. 



The following item was removed from the calendar. 

28. Authorization for Course Attendance - NAUI Assistant Instructor 
Certification Course, Firefighters Joseph M. Wilson and John J. 

McManus 

Resolution approving the attendance of 
Firefighter Joseph M. Wilson and 
Firefighter John J. McManus, San 
Francisco Fire Department, San 
Francisco International Airport, as 
Airport representatives and qualified 
certified divers, to attend the 
Assistant Instructor Certification 
Course given by the National 
Association of Underwater Instructors 
(NAUI), in early summer of 1984. 



H. COMMUNICATIONS: 

There was no discussion by the Commission. 



TRAILING CALENDAR: 

Commissioner Goosby asked if the survey for potential concessions for the 
Medical Clinic space had been completed. 



Minutes, May 15, 1984, Page 11 



Ms. Gittens responded that the survey was completed about a week ago. 

Commissioner Goosby asked if the top three recommendations from the survey 
were being looked at. 

Ms. Gittens responded that a snack bar was the favorite. 



Commissioner Kadish said it was her understanding that the Airport was 
contemplating undertaking a trial basis activity in relation to 
information. She noticed that the trailing calendar listed an item for 
the development of a procedure for monitoring trial basis activities 
however no date has been set. She requested that a procedure be presented 
to the Commission before staff undertakes any further trial basis 
activities. 



Commissioner Goosby asked how the carpet testing was proceeding. 

Mr. Yuen responded that there are two contracts out to test areas however 
Civil Service informed staff that the contracts must go to them for 
approval. No one can be hired until that approval is received and the 
contracts are being bogged down in the system. Mr. Yuen felt it was 
ridiculous because these contracts are for $700 and $1,000 and the 
duration is only for one night. 



K. ADJOURNMENT TO GO INTO CLOSED SESSION: 

There being no further calendared business before the Commission the 
meeting adjourned at 2:30 P.M. to go into closed-^session. 



?an Caramatti 
Commission Secretary 





Minutes, May 15, 1984, Page 12 



SAN FRANCISCO 
AIRPORTS COMMISSION 




uoCUMENTS DEPT. 
JUL 1 6 1984 

SAN FRANCISCO 

PU8I IC IBRAPV 



MINUTES 



Tuesday, June 5, 1984 



DIANNE FEINSTEIN, MAYOR 

COMMISSIONERS 

MORRIS BERNSTEIN 

President 

WILLIAM K. COBLENTZ 

Vice-President 

RUTH S. KADISH 

DR. Z.L GOOSBY 

J. EDWARD FLEISHELL 



LOUIS A.TURPIN 

Director of Airports 

San Francisco International Airport 
San Francisco, California 94128 



Index 

of the Minutes 

Airports Commission 

June 5, 1984 



Calendar 
Section 


Agenda 
Item 


Title 


A 




CALL TO ORDER 


B 




ROLL CALL 


C 




ADOPTION OF MINUTES 



Resolution 
Number 



Page 
4 
4 



1. 



Regular Meeting of 
February 21, 1984 

Regular Meeting of 
March 6, 1984 

Special Meeting of 
March 13, 1984 

Regular Meeting of 
March 20, 1984 

ANNOUNCEMENT BY SECRETARY 

SPECIAL ITEM: 

Retirement Resolutions 



84-0151 


4 


84-0152 


4 


84-0153 


4 


84-0154 


4 




4 


84-0155 




84-0156 


4-5 



DIRECTOR'S REPORTS: 

2. Sam Trans' Proposed Main- 

tenance Base at Belle Air 
Island and Exchange of 
Access Easement through 
Airport Property 

3. Report Outlining the Facility 

Monitoring Methods at the 
Airport. 

4. Airport Program on Collection 

of Delinquent Accounts. 

POLICY: 

5. Resolution Adopting New Landing 

Fees and Surety Bond Policy - 
Non-Lease and Use Agreement 
Airlines 



5-6 



6-8 



84-0157 



Minutes, June 5, 1984, Page 1 



Calendar Agenda Resolution 

Section Item Title Number Page 

H AGENDA ITEMS INVOLVING ADMINIS- 

TRATION, OPERATIONS AND 
MAINTENANCE: 



6. 


Airport Informational Brochure 




8-9 


7. 


Passenger Information System - 
Airport "You Are Here" 




9 


8. 


Passenger Information System- 
Bay Area Teleguide 


84-0158 


9-11 


9. 


Credit Card Public Telephones- 
Pacific Bell and AT&T 


84-0159 


11 


10. 


Design Review Approval - 
North Terminal "Hub" 
Principal Concession 
Stores 


84-0160 


11-12 



11. Transfer of Funds to 

Art Commission for 

Larry Kirkland Contract 84-0161 12 

CONSENT CALENDAR OF ROUTINE 
ADMINISTRATIVE MATTERS: 

12. Bid Call: Contract 

No. 1200BU8), Rehabili- 
tation of Elevators 84-0162 12 

13. Bid Call: Contract 

No. 1200BU0) 

Additional Door Alarms, 

International Terminal 84-0163 12-13 

14. Bid Call: Airport Contract 

No. 1572 - Area and 

Security Lighting at 

Water Quality Control Plant 84-0164 13 

15. Approval of Sublease between 

Pan American Airlines, Inc. 

and National Car Rental 

System, Inc. 84-0165 13 

16. Resolution Approving Assign- 

ment of Contracts and 

Requesting City Controller 

to Transfer Funds from 

Contract 1206 to 

Contract 1414AB 84-0166 13 

17. Supplemental Appropriation 

$4,039.00 84-0167 13 

18. Tenant Improvement: 

Host International Inc. 
Temporary Food Facility 
South Terminal 84-0168 13 



Minutes, June 5, 1984, Page 2 



Calendar 
Section 



Agenda 
Item 



Title 



Resolution 

Number Page 



19. Tenant Improvement: 

Budget Rent-A-Car, 
Lots B and C 

20. Tenant Improvement- 

Hertz Lot B 

21. Tenant Improvement: 

National Car Rental, 

Lot A 

PUBLIC HEARINGS: 

22. Airports Commission 

Rules and Regulations 

23. Parking Rate Increases 

in the Garage and 
Long Term Lot 

24. Adoption of Ground Trans- 

portation Rates and 
Charges 

COMMUNI CATIONS 

TRAILING CALENDAR 

ADJOURNMENT TO GO INTO CLOSED 
SESSION: 



84-0169 
84-0170 

84-0171 

84-0172 
84-0173 



13 
14 

14 

14-15 
16 

16 

17 
17 

17 



Minutes, June 5, 1984, Page 3 



Minutes 

of the 

Airports Commission 

June 5, 1984 



A. CALL TO ORDER: 

The regular meeting of the Airports Commission was called to order at 
2:00 P.M. in Room 282, City Hall, San Francisco, Ca. 



B. ROLL CALL: 

Present: 

Absent: 



Commissioners William K. Coblentz, 
Ruth S. Kadish, Z. L. Goosby, 
J. Edward Fleishell. 

Commissioner Morris Bernstein. 



ADOPTION OF MINUTES: 

The minutes of the following meetings were adopted by order of the 

Commission Vice President. 



No. 84-0151 

No. 84-0152 

No. 84-0153 

No. 84-0154 



Regular meeting of February 21, 1984 
Regular meeting of March 6, 1984 
Special meeting of March 13, 1984 
and Regular meeting of March 20, 1984 



ANNOUNCEMENT BY SECRETARY: 



In accordance with the Brown Act, 
Section 54957.1, Jean Caramatti, 
Commission Secretary, announced 
unanimous adoption of Resolution No. 
84-0150 regarding the settlement of a 
litigated claim at the closed session 
of May 15, 1984. 



E. SPECIAL ITEM: 

The following item was unanimously adopted. 
1. Retirement Resolutions 



No. 84-0155 
No. 84-0156 



Bill Gutierrez, Airport Custodial 
Supervisor and Archie Kidd, Carpentry 
Supervisor. 



Minutes, June 5, 1984, Page 4 



Mr. Lou Turpen, Airport Director, said the Airport was losing two 
outstanding supervisors, Bill Gutierrez and Archie Kidd, who have a 
total combined city service of 66 years. 

Mr. Turpen said that Mr. Gutierrez began his career with the 
Municipal Railway. He has been an instructor in custodial training 
for 19 years with the S.F. Unified School District and the Community 
College District. He has served in Local 66 for 17 years, 11 years 
as President and the remainder of that time as a member of the 
Executive Board. 

Mr. Turpen said that Mr. Gutierrez is an outstanding supervisor and 
his personal efforts and selflessness have been responsible for the 
high marks that our terminal facilities have received in the 
custodial area. 

Mr. Turpen said that Mr. Kidd has served with the S.F. Unified School 
District, Municipal Railway, and has been an outstanding contributor 
to the Airport. Mr. Kidd has come up with many inovative approaches 
and his selfless devotion of his personal time are the primary 
ingredients in turning around the maintenance program and the high 
marks the Airport has received in maintenance productivity. 

Mr. Turpen said that both Mr. Gutierrez and Mr. Kidd will be greatly 
missed and he asked the Commission to join him in expressing 
appreciation and gratitude to them for their outstanding efforts and 
wished them both a long and fruitful retirement. 



F. DIRECTOR'S REPORTS: 

2. Sam Trans' Proposed Maintenance Base at Belle Air Island and Exchange 
of Access Easement through Airport Property . 

Mr. Turpen said this was simply a status report for the Commission. 
He said that Belle Air Island is north of and adjacent to the 
Airport. Sam Trans proposes to use this area as a bus maintenance 
facility. He explained that the only access to this area is via 
Airport property. Staff has determined that the existing easement to 
the property does not conform to actual practice and should be 
redesigned to conform to the north access road which has historically 
been used to gain access to the Belle Air Island property. 

Mr. Turpen said that staff has been in contact with Sam Trans 
regarding the utility easement alongside the north access road. 
Staff has outlined the Airport's requirements for an easement which 
include widening and strengthening of the north access road to bear 
additional traffic. Sam Trans' Board of Directors has not yet 
finalized a response but Mr. Turpen hopes to have it by the June 19 
meeting. 

3 . Report Ou tlining the Facility Mon itoring Met hods at the Airport . 

Mr. Turpen said there are essentially three facility monitoring 
methods at the Airport: the automatic systems, the preventive 
maintenance system and the work order service format system. He said 
that these systems are monitored by various members of the Airport 
staff. There is a detailed method of reporting required work on the 
physical facilities for custodial, police and airfield persons. Mr. 
Turpen said that the program has proven to be very effective and it 
will be continued. 



Minutes, June 5, 1984, Page 5 



Commissioner Kadish asked what was meant by "Airport Two." 

Mr. Turpen responded that "Airport Two" was a designation for an 
operations supervisor on duty for 24 hours. He explained that each 
"Airport Two" shift is responsible for checking all terminal 
facilities, including the washrooms, and filing a report with 
Maintenance on the condition of the facilities at the end of each 
shift. 

Commissioner Kadish said that she made the request to develop a 
monitoring procedure for the concessions and not the report that has 
just been given. She said that the report was very helpful but she 
really was interested in a procedure of how concessions and contract 
compliance were monitored. She said that certain concessions are not 
in compliance. Commissioner Kadish asked that a report be 
forthcoming. 

Mr. Turpen said the item would be placed on the trailing calendar and 
a Director's Report would be prepared for the June 19 meeting. 

Commissioner Fleishell asked Commissioner Kadish if she had specific 
items in mind rather than have staff deal in generalities. 

Commissioner Kadish responded that there are certain concessions that 
are supposed to carry mainly one item yet those items are a small 
percentage of their merchandize. She and offered the flower 
concession in the Central and North Terminals as an example. In 
addition, the flower cart is supposed to be open a certain number of 
hours per day but she did not think that that requirement was being 
fulfilled. Commissioner Kadish said that one or two concessions are 
supposed to carry a certain line of items and she wants to be certain 
that they do. 

Commissioner Goosby said the Commission received a memo regarding the 
monitoring and which staff members received the assignment. 

Mr. Turpen remarked that he thought the memo to which Commissioner 
Goosby referred was dated February 19. He said that possibly 
Commissioner Kadish was away at the time. 

Commissioner Kadish responded that she received the letter but it did 
not address this particular matter. 



4. Airport Program on Collection of Delinquent Accounts. 

Mr. Turpen said that the total undisputed accounts past due have been 
reduced from 78 percent of receivables in 1981 to 25 percent of 
receivables in 1983. The program, as outlined in the report, was 
drafted in response to the Commission's policy concerning the 
imposition of finance charges. That policy was put into effect in 
September 1981. Staff will continue to move aggressively on the 
accounts receivable. He said this could be a quarterly report. 

Commissioner Goosby said that the Commission gets a report on 
delinquent accounts every month. 

Commissioner Kadish remarked that they have not received a report for 
several months. 

Mr. Turpen said he would check on it. 



Minutes, June 5, 1984, Page 6 



Commissioner Fleishell said he would like to know why the Commission 
has not been receiving these reports. 

Mr. Turpen said the matter could be placed on the next Commission 
calendar or he could prepare a response and send it to the Commission 
tomorrow. The consensus was that the matter would be discussed at 
the next meeting. 

Commissioner Goosby asked if there was a time table for invoking the 
various steps for delinquent accounts. 

Mr. Turpen said that a more aggressive collection policy for 
delinquent accounts has been pursued since Ms. Gittens has joined the 
staff. He said that due to non-payment several people have been put 
on notice for cancellation of their permits but explained that each 
case is taken individually. 

Ms. Angela Gittens, Deputy Director for Business and Finance, said 
that there is a difference in the type of account and the specific 
situation. She said that permitted airlines that have been chronic 
problems have been moved on within five days. She told the 
Commission that three airlines in the last three months have been put 
on a five-day notice. One of these airlines, Pacific East, went 
bankrupt. 

Ms. Gittens said that some lease and use airlines have been using the 
full 30-days every month for the past eight or nine months. She said 
that at this point the Airport's only leverage is the collection 
charge. 

Ms. Gittens said there is another account, which is mentioned in the 
monthly reports, that has been a chronic problem and will be 
terminated in August. 

Commissioner Goosby said that tenants might be more inclined to meet 
their obligations if they knew that the next step in the collection 
procedure would automatically be invoked. 

Ms. Gittens said that of the past due accounts approximately 95 
percent is within 1 to 30 days. She said that except for chronic 
problems staff is unlikely to move that quickly. 

Ms. Gittens said that aside from the account that will be discussed 
in closed session there are no other accounts over 40 days and there 
are not many over 30 days. She said that some of these refer to 
retroactive billings and explained that while they are booked as past 
due they had not actually been billed until the current period. 
Every year staff goes through a recalculation of the lease and use 
charges based on the final results of the previous year. Those are 
billed some time in the following year. 

Commissioner Kadish agreed with Commissioner Goosby that the Airport 
should follow a time schedule. 

Ms. Gittens said she could send the Commission the time frame and the 
manual used by accounting. She said that she could also send the 
Commission the age of the accounts but the vast majority are within 
the 30-day period. 

Mr. Turpen said he received a document this morning that outlines 
each of the past due accounts and gives an explanation of each. He 
asked Ms. Gittens to send copies to the Commission as well as any 
additional information that is needed. 



Minutes, June 5, 1984, Page 7 



Commissioner Fleishell said it was his understanding that there are 
accounts that were not billed for six months. He said he wanted to 
know who owes the Airport what. He said that Commissioner Bernstein 
has been asking for a 30-day accounts receivable statement for the 
Commission. 

Commissioner Kadish said the Commission needs the monthly report and 
the detailed steps that Commissioner Goosby asked for. 

Mr. Turpen said staff will pull this information together and send it 
to the Commission prior to the next meeting. 

Commissioner Kadish said the Commission received a memo relating to 
vendor payments and explaining the role of the Controller and 
Purchaser. She said that the memo indicated that the situation would 
be monitored and asked that the Commission be kept apprised of the 
situation. 



POLICY: 

The following item was unanimously adopted. 

5. Resolution Adopting New Landing Fees and Surety Bond Policy - Non 
Lease and Use Agreement Airlines 

No. 84-0157 Resolution adopting a policy to modify 

all non-lease and use agreement 
airlines' operating permits to require 
landing fees payment in advance and 
adopting a three (3) month surety bond 
requirement. 



H. W3ENDA ITEMS INVOLVING ADMINISTRATION, OPERATIONS AND MAINTENANCE: 

The following item was considered by the Commission. 

6. Airport Informational Brochure 

Submittal of various cover designs, 
revised text and brochure format for 
Commission approval. 

Commissioner Kadish said she had some grave questions about the 
material sent to the Commission. She said that some of the 
information was inadequate and some was inaccurate. She also 
remarked on the poor grammar and punctuation. She said that if 
someone contacts her she will be glad to go over those items. - 

Commissioner Kadish said that the last time this item was on calendar 
Commissioner Coblentz voted against the design. Staff was supposed 
to return to the Commission with a design, format and revised 
content. 

Mr. Turpen said that there has been a great deal of discussion on two 
aspects of the brochure: design and content. He recommended moving 
ahead with some limited distribution for the summer, even if it 
occurs after the convention. In that interim period staff can work to 



Minutes, June 5, 1984, Page 8 



vide a brochure that is more representative of what the Commission 
feels is appropriate for San Francisco. He said that the grammatical 
and informational aspects can be worked out for this initial brochure. 

Mr. Turpen presented the Commission with three proposed designs, one 
of which was the original design that the Commission asked to be 
revised. 

Commissioner Coblentz said that the last time this was brought before 
the Commission Mrs. Kadish asked why the design commissioned for the 
operning of the International Terminal was not used. He said it was 
quite good. 

Mr. Turpen said that that concept can be utilized as a fourth 
design. He said there was an attempt to integrate it into one of the 
posters that is before the Commission but found that the two were not 
compatible and directed that it not be included. 

Commissioner Coblentz said that a temporary brochure would cost a 
substantial amount of money and as acting chairman he recommended 
that Commissioners Kadish and Goosby try to work something out rather 
than having this come back to the Commission. 

Commissioners Kadish and Goosby consented. 

Commissioner Goosby emphasized his desire to have a brochure for the 
convention whether it is the final version or not. 

Commissioner Fleishell agreed with Commissioner Goosby. He said that 
it will take two weeks from this point to final printing so the 
brochure should be ready before the convention. 



Items 7 and 8 were called together. Item 7 was put over indefinitely 
and Item 8 was unanimously adopted as amended. 

Passenger Information System - A i rport "You Are Here" 

Resolution modifying projected design 
budget for Passenger Information 
System ("You Are Here") by reducing 
construction budget proportionately. 



Passenger Information System - Pacific Bell and AT&T 

No. 84-0158 Resolution authorizing the Director to 

execute a space/use permit to Bay Area 
Teleguide for installation and 
operation of a videotex information 
system in the Terminal Building 
Complex. 

Commissioner Coblentz asked if there was a conflict between these two 
items . 

Mr. Turpen responded that the initial intent of the Airports 
Commission was to install a passenger information "You Are Here" 
system in the terminal. The Commission authorized $300,000 ($50,000 
for design, $250,000 for the fabrication and installation) for a 
static, non-illuminated system. He said that subsequent to that time 
staff began investigating an interactive system, the Bay Area 
Teleguide. He believes that the two systems are compatible. Mr. 
Turpen said that in the Commission's original deliberations 
concerning the static "You Are Here" system specific provision was 
made for the inclusion of an interactive system in the kiosk at some 
future date. 



Minutes, June 5, 1984, Page 9 



Mr. Turpen said that together these two systems cover the full range 
of passenger needs. The static system serves the needs of the 
frequent traveler who is generally familiar with the Airport and who 
is looking for a specific piece of information. The interactive 
system serves the needs of those passengers who want more information 
about the City or the Airport. 

Mr. Turpen felt that developing the information for the static system 
would take some time. He said that the Bay Area Teleguide system 
would be installed on a six-month trial basis with an evaluation to 
be sent to the Commission sometime around the first of the year. 

Commissioner Coblentz suggested that instead of expending the 
$300,000 for the "You Are Here" system Teleguide should be given the 
six-month trial since it would be cost-free to the Airport. 

Commissioners Goosby and Fleishell agreed with Commission Coblentz. 

Commissioner Kadish said there is the possibility that within six 
months it might be determined that Teleguide is inadequate and if 
staff had the design aspect under way, though not implemented, it 
would save time. 

Mr. Turpen explained that the responses received for the static 
display concept indicate that although the overall amount would be 
$300,000 the system could not be designed and put together for the 
$50,000 originally forecast by staff; it would be more like $100,000. 

Commissioner Kadish suggested that when the Commission receives the 
three-month evaluation of the Teleguide system staff can give some 
indication at that time as to whether or not a static system would be 
needed . 

Commissioner Coblentz moved that Item 7 be put over for an indefinite 
period of time and that Item 8 be adopted. 

Commissioner Goosby seconded the motion. 

Mr. Turpen asked the Commission if they would like a report on the 
static versus interactive system at the end of the three months or 
leave it at the call of the chair. 

Commissioner Coblentz responded that since it was not known when the 
system would be installed the reporting date should be left open. 

Commissioner Kadish said that the Teleguide resolution should 
indicate that it is a trial basis effort. 

Mr. Orville Luster, representating AMC, felt that an information 
system was a good idea and told the Commission that his company was 
installing a machine for the Democratic National Convention. He 
explained that their machine is not a static design and moves 
something like a Venetian blind and is easy to operate. 

Mr. Luster asked the Commission to consider their design. He said he 
may be able to save the Commission money and might possibly be able 
to generate revenue. He said that Mr. Ed Lanzilla of Airport 
Property Management has already seen their design. Mr. Luster 
invited each member of the Commission to his office at 125 Hyde 
Street in San Francisco to view the machine. He told the Commission 
that they are a minority firm and that his partners, Mr. Leonard Quan 
and Mr. Alec Cabas, were present. 



Minutes, June 5, 1984, Page 10 



Commissioner Goosby said he would be happy to see it. He said staff 
could take a look at it as another option for the Commission or the 
possible installation of another operation. 

Commissioner Coblentz, a Director of Pacific Bell, was excused from 
the discussion and vote on this item. The item was unanimously 
adopted . 

9. Credit Card Public Telephones - Pacific Bell and AT&T 

No. 84-0159 Resolution authorizing Director to 

execute a space/use permit to Pacific 
Bell and AT&T for installation of 
approximately 200 credit card public 
telephones under revised fee schedules 
and with accompanying services. 

Mr. Turpen said staff recommends granting permits to both Pacific 
Bell and AT&T to install approximately 106 telephones each in the 
terminal facilities. 

Mr. Turpen said the systems are different and offer a range of 
alternatives. AT&T can be multi- lingual and offers access for 
American Express and Bankamericard. PT&T offers a different range of 
services. Combined, staff feels it can maximize the coverage and 
service to passengers and at the same time protect our revenues from 
these two companies. 

Mr. Turpen explained that it was his understanding that AT&T has 
reached agreement with most other local bell companies in the United 
States but that AT&T and Pacific Bell have not yet come to an 
agreement. He feels that it is in the best interest of the Airport 
to include both on a permit basis in order to provide the broadest 
range of services to passengers. 

Commissioner Fleishell asked what facts staff has to indicate that 
revenue will go up. 

Ms. Gittens responded that the minimum annual guarantees that have 
been discussed with each of the carriers have been more than what the 
Airport has received form Pacific Bell. 

Commissioner Kadish asked where these phones will be placed. 

Ms. Gittens responded that previous discussions indicate that they 
might be placed where the Pacific Bell charge phones are now. There 
will be no additional locations. 

Commissioner Fleishell asked about the Central Terminal. 

Ms. Gittens said there will be no additional locations in the Central 
Terminal. She said it was her understanding that AT&T has agreed to 
put in an international call center, though this service would 
provide different types of phones. 

Commissioner Fleishell acknowledged requests by Mr. Nichols and Mr. 
Little, both of AT&T, to speak but both rescinded their requests. 



The following item was unanimously adopted. 

1 . Design Review Appro val - North Terminal "Hub" Principal Concession 
Stores 

No. 84-0160 Resolution approving the schematic 

design of the North Terminal "Hub" 
Principal Concession retail stores 
operated by Duty Free Shoppers. 



Minutes, June 5, 1984, Page 11 



Commissioner Kadish asked if a representative from Duty Free was 
present to explain the design. 

Commissioner Coblentz asked Mr. Yuen if he and Howard Friedman 
approved the design. 

Mr. Jason Yuen, Administrator, Bureau of Planning and Construction, 
said that they did. 

Commissioner Coblentz moved on to the next item while the designs 
were being put up and returned to this item prior to the Public 
Hearing. 

A representative from Duty Free showed the Commission a location plan 
and a merchandising plan of the gift shop. She described the type of 
merchandise to be sold in each section, the decor of each section and 
materials to be used. 



The following item was unanimosuly adopted. 

11. Transfer of Funds to Art Commission for Larry Kirkland Contract. 

No. 84-0161 Transfer of $5,000 to Art Commission 

for award of contract to Larry 
Kirkland for design development and 
maquette of hanging sculpture at 
entrance to Boarding Area B, South 
Terminal . 

Commissioner Goosby asked if this amount included installation costs, 

Commissioner Coblentz responded that it did not. 



CONSENT CALENDAR OF ROUTINE ADMINISTRATIVE MATTERS: 

12. Bid Call: Contract No. 1200BU8), 
Rehabilitation of Elevators 

No. 84-0162 Resolution authorizing bid call for 

Contract 1200B(18), Rehabilitation of 
Elevators, International Terminal. 
Upgrade work to accommodate the 
physically handicapped for two 
original elevators required by newly 
enacted California Administrative 
Code, Title 24, Part 2. 

13. Bid Call: Contract No. 1200B(10) 



Additional Door Alarms, International Terminal 

No. 84-0163 Resolution authorizing the Director of 

Airports to call for bids for Airport 
Contract No. 1200B(10), Additional 
Door Alarms - International Terminal. 

The purpose of the contract is to 
provide fire exit door security alarms 
on the departure level at the two exit 
stairs in the terminal building near 
the North and South Connectors, at the 
four exit stairs in Boarding Area D 
concourse, and at each of the loading 



Minutes, June 5, 1984, Page 12 



bridge vestibules in the Boarding Area 
D gate room area. It will also change 
pushbutton bypass switches at the 
apron level to key bypass switches to 
restrict movement through the Customs 
corridor. 

14. Bid Call: Airport Contract No. 1572 

Area and Security Lighting at Water Quality Control Plant 

No. 84-0164 Resolution approving scope, budget and 

schedule for Contract No. 1572 and 
authorizing the Director of Airports 
to call for bids when ready. The work 
consists of installing security 
lighting around the perimeter of Water 
Quality Control Plant and replacement 
of corroded poles and fixtures. 



15. Approval of Sublease between Pan American Airlines, Inc. and National 
Car Rental System, Inc. 

No. 84 — 0165 Resolution approving Modification No. 

4 to Sublease for rental car staging 
facilities located on Plot 1G, from 
Pan American World Airlines, Inc. by 
National Car Rental System, Inc. 



16. Resolution Approving A ssignment of Contracts and Requesting City 
Controller to Transfer Funds from Contract 1206 to Contract 1414AB. 

No. 84-0166 Work under Contracts 1206 (South 

Terminal Aircraft Apron Paving, Phase 
I) will be combined with Contract 
1414AB (Boarding Area B Renovation) as 
provided by the contract. Funds need 
to be combined accordingly. No change 
in total contract amount nor budget. 



17. Supplemental Appropriation - $4,039.00 

No. 84-0167 Supervisory differential adjustment in 

accordance with Section IV. F of the 
Annual Salary Standardization 
Ordinance. 



18. Tenant Improvement: 

Host International Inc. Temporary Food Facility, South Terminal 

No. 84-0168 Resolution approving construction of a 

temporary food and beverage facility 
in the South Terminal during the 
construction program. 



19 . Tenant Imp ro vement: 

Budget Rent-A-C ar , Lots B and C 

No. 84-0169 Resolution approving design and 

construction of the two kiosk 
additions in Lots B and C. 



Minutes, June 5, 1984, Page 13 



20. Tenant Improvem e nt: 
Hertz Lot B 

No. 84-0170 



Resolution approving design and 
construction of express check-out 
facility. 



21. Tenant Improvement: 

National Car Rental , Lot A 

No. 84-0171 



Resolution approving design and 
construction of express booth and 
canopy extention. 



The Public Hearing was convened at 2:45 PM and ended at 3:07 PM. 
J. PUBLIC HEARINGS: 

The following item was unanimously adopted. 
22. Airports Commission Rules and Regulations. 



No. 84-0172 



Approval of Airports Commission Rules 
and Regulations. 



Commissioner Kadish said that she did not read the Rules and 
Regulations line by line and asked if there was anything in the 
document that relates to the no-smoking ordinance both for offices 
and Airport lounges. She said that four or five years ago the 
Airport set aside no-smoking areas in the terminals but did not see 
any the last time she was in the Airport. She said that it should be 
included in the Rules and Regulations. 

Mr. Turpen responded that to his knowledge there is no separation of 
smoking/non-smoking areas in the terminals. 

Commissioner Kadish said there used to be and wanted to know why it 
was dropped. She asked Mr. Turpen to return to the Commission next 
week with a plan which will clearly designate those areas. 

Commissioner Coblentz said that Air California has a non-smoking 
section in the waiting area. 

Mr. Phil Meginnes, Airport Operations, responded that many years ago, 
before the opening of the North Terminal, the Central Terminal was 
broken down into smoking/non- smoking areas but had no explanation as 
to why it was dropped. 

Commissioner Kadish said the smoking/non- smoking designation for each 
boarding area should be included in the Rules and Regulations. She 
asked how what already has been included relates to the non-smoking 
ordinance. 

Mr. Turpen referred Commissioner Kadish to Page 6 of the Rules and 
Regulations and indicated that the section on smoking was modeled 
after the City ordinance. 

Commissioner Coblentz said he did not think that the Airport could 
require the airlines to follow the non-smoking rule. 



Minutes, June 5, 1984, Page 14 



Mr. Garibaldi, Airport General Counsel, said that every lease and 
permit is conditioned upon compliance with the Rules and Regulations 
of the Airport. 

Mr. Charles Mawson, Legislative Director for Californians for 
Nonsmokers Rights, said that since the San Francisco ordinance was 
introduced in January, 1983 various cities, Palo Alto, Pasadena and 
Mountain View, have passed ordinances which clarify their policies. 
He asked the Commission to adopt a more complete regulation and ban 
smoking in restrooms, hallways, and conference rooms; set aside a 
certain percentage of the employee lounges and cafeterias; and, 
permit the non-smoker to designate an individual desk as a 
non-smoking area. He said he would be happy to provide copies of 
these laws and policies to staff to show them what other communities 
have done to clarify a policy. He applauded the Commission's action 
but suggested that it could be improved upon by clarifying the 
minimum policy. 

Mr. Mawson told the Commission that the Minneapolis airport has had 
non-smoking areas since 1975; Oakland airport's non-smoking areas are 
located outside the security areas; John Wayne Airport does not allow 
smoking past security areas; and, San Diego has a no-smoking policy 
in ticket lines but not in the waiting areas. 

Mr. Mawson said that there is such variation in the State that his 
organization went before the legislature and, with the assistance of 
Assemblywoman LaFollette, introduced a bill, AB 2997, that would set 
up non-smoking areas in waiting areas and ticket lines. He explained 
that because of objections from the airline industry the bill was 
made into a resolution encouraging the airlines and airport 
management to protect non-smokers in the ticket lines and waiting 
areas. The legislature was to receive a progress report in six 
months. 

Mr. Mawson said that representatives from San Diego, Los Angeles and 
Burbank airports met in Assemblywoman LaFollette' s office a month ago 
and told the Assemblywoman that they would do their best to comply 
with a voluntary proposal. 

Mr. Mawson said they do not want to ban smoking, they want it 
regulated to protect non-smokers. 

Commissioner Kadish said that she commented on this at the March 6 
meeting and staff was supposed to return to the Commission at the 
first meeting in April. She suggested that staff might want to get 
together with Mr. Mawson to come up with something that is workable. 

Mr. Turpen said staff will have an outline for the Commission at the 
next meeting. 

Commissioner Coblentz said that there has been a long fight on the 
smoking ordinance and the Airport should see how it is tested. He 
agreed with Commissioner Kadish' comments on the waiting areas but he 
did not think there should be a ban on smoking in ticket lines. 

Mr. Turpen said that if the Rules and Regulations are adopted today 
he will come back to the Commission with appropriate language on the 
non-smoking issue. The Rules and Regulations will be published in 
30-60 days and the delay will not preclude its inclusion in the 
original issue. 

The following item was adopted by a 3-1 vote with Commissioner 
Kadish casting the dissenting vote. 



Minutes, June 5, 1984, Page 15 



23. Parking Rate Increases in the Garage and Long Term Lot 

No. 84-0173 Resolution authorizing the approval of 

parking rate increases in the garage 
and long term lot to take effect on 
August 1, 1984 and January 1, 1986. 

Commissioner Kadish said that she first introduced changing the 
schedule in 1977 and is in favor of increasing rates when it is 
appropriate to do so. She said that the material sent to the 
Commission contained information that relates to other airports but 
that she did not care about other airports; she only cared about San 
Francisco. She said that the Airport's physical plot is what should 
make the determination relative to the use of automobiles at SFO. 

Commissioner Kadish said that over the years there have been 
complaints about cars circling the roadway and accumulating 
curbside. She said that these problems were the basis for retaining 
a low parking rate for the first two hours. She added that the 
current rate was in line with most of the City's parking facilities. 
Commissioner Kadish felt that as soon as the rates are raised for the 
first two hours you will find more people circling the Airport rather 
than using the garage. She said that she is not averse to raising 
the rate for the entire day but she is strongly averse to doing 
anything that will create an accumulation of cars in front of the 
terminal. Commissioner Kadish asked that staff try to work out an 
increase in rates, leaving the first hour and probably the second 
hour as is. 

Commissioner Goosby said that he felt the rates were in line with the 
concept of encouraging use of the garage. He felt that the increase 
would not be unexpected due to the length of time the rate has 
remained at 50j6. He did not feel that the proposed increase was 
exorbitant but was, in fact, reasonable when compared to rates of 
private garages. Commissioner Goosby also argued that the additional 
revenue would increase the amount of money going into the City's 
general fund. 

Commissioner Goosby said that he was sympathetic to Commissioner 
Kadish' comments and if after six months it is determined that the 
rate increase has resulted in heavier traffic on the roadway and at 
curbside then the Commission can take another look at the increase. 
He felt that it is foolish to penalize the City when there is no 
evidence that this minor increase will adversely effect roadway 
traffic. 

Commissioner Kadish offered the compromise of increasing the second 
hour but leaving the first hour at the original rate. 

Commissioner Fleishell said he did not think that an additional 25jc 
would deter anyone from parking in the garage. He felt that the 
increase had to be made. 



The following item was unanimously adopted. 

24 . Adoption of Ground Transportation Rates and Charges 

No. 84-0174 Adoption of rates and charges for 

various ground transportation 
operators utilizing San Francisco 
International Airport roadways. 



Minutes, June 5, 1984, Page 16 



K. COMMUNICATIONS: 

There was no discussion by the Commission. 



* * * 



L. TRAILING CALENDAR: 

Commissioner Kadish noted that there has been no discussion of the Policy 
Manual since April 17. 

Commissioner Kadish asked for a report on the draft procedure for 
monitoring trial basis activities as soon as possible. 



N. ADJOURNMENT: 

There being no further calendared business before the Commission the 
meeting adjourned at 3:07 PM to go into closed session. 



'V 



Jean Caramatti 
Commission Secretary 



Minutes, June 5, 1984, Page 17 



SAN FRANCISCO 
AIRPORTS COMMISSION 




MINUTES 



DOCUMENTS DEPT. 

OCT 1 9 1984 

SAN Fkm.^.^o 



Special Meeting 
June 26, 1984 



DIANNE FEINSTEIN, MAYOR 

COMMISSIONERS 

MORRIS BERNSTEIN 

President 

WILLIAM K. COBLENTZ 

Vice-President 

RUTH S. KADISH 

DR. Z.L QOOSBY 

J. EDWARD FLEISHELL 



LOUIS A.TURPIN 
Director of Airports 



San Francisco International Airport 
San Francisco, California 94128 



Index 

of the Minutes 

Airports Commission 



Special Meeting 
June 26, 1984 



Calendar 


Agenda 




Section 


Item 


Title 


A. 




CALL TO ORDER: 


B. 




ROLL CALL: 


C. 




ADOPTION OF MINUTES 


D. 




SPECIAL ITEM: 



Resolution 

Number Page 

4 

4 

84-0175 4 



1. Retirement of Betty h. Thanos, 

Principal Accountant 84-0176 8 

E. DIRECTOR'S REPORTS: 

2. Development of International 

Terminal Arrivals Level 

Concessions Facilities 8 

3. International Terminal Principal 

Concession Lease - Soaps, 

Lotions and Flower Sublease 9 

F. ITEMS INITIATED BY COMMISSIONERS: 

Resolution commending staff on 
job well done during June 15, 
1984 gas main break in South 
Terminal 84-0177 9 

G. POLICY: 

4. Airports Commission Rules and 84-0198 

Regulations 84-0199 9 

H. POLICY REVIEW: 

5. Review of Policies Adopted by 84-0200 

the Commission from July 84-0201 

through December, 1982. 84-0202 10 

I. ITEMS RELATING TO ADMINISTRATION, 

OPERATIONS AND MAINTENANCE: 

6. Contract 1414AB Boarding Area B 

Renovation, Boarding Area B 

South Concession Area 84-0179 4 



Minutes, June 26, 1984, Page 1 



Calendar Agenda Resolution 

Section Item Title Number page 

7. Award of Contract No. 1535-R 

Re-roofing of Engineering 

Building 84-0180 5 

8. Airport Contract No. 1250-C 

Pavement Overlay and Relo- 
cation of Lights of 
Runway 1R-19L 84-0181 5 

9. Resolution Awarding Two Leases 

and One Permit for Shoeshine 

Operations in Terminal 

Buildings 84-0182 5 

10. Resolution Approving Modification 

No. 5 to Professional Services 

Agreement with Farella, Braun 

and Martel 5 

11. Commendation for Elsa Cameron 84-0183 5 

12. Modification and Extension 

of Professional Services 
Agreement - Iver C. Larson 
and Associates - Profes- 
sional Safety Consultants - 
$17,300 84-0184 5 

13. Tenant Improvement: 

United Airlines Maintenance 
and Operations Center 

14. AOCI Pacific Basin Definition 

15. Proposed Exhibitions Program, 

Fiscal Year 1984/1985 

16. Automobile Service Station 

on Main Exit Road 

J. CONSENT CALENDAR OF ROUTINE 

ADMINISTRATIVE MATTERS: 

17. Employment Retirement 7 

Orville Brogan 84-0189 

Masanori Hirasuna 84-0190 7 

Nikolai G. Makaroff 84-0191 7 

18. Tenant Improvement - 

Hertz Lot A 84-0192 7 

19. Tenant Improvement: - 

Northwest Orient 

Airlines Cargo Directory 

Sign - Plot 9A 84-0193 

20. Tenant Improvement: 

PSA South Terminal 

Pier "e" New Loading 

Bridge and Boarding 

Gate West of Gate 37B 

T-2888 $65,000 84-0194 



Minutes, June 26, 1984, Page 2 



84-0185 


6 


84-0186 


6 


84-0187 


6 


84-0188 


6 



Calendar Agenda Resolution 

Section Item Title Number Page 

21. RTR/Localizer for 

Runway 28L 84-0195 7 

22. Microwave Grid Antennas 

for "new" Controller 

Tower 84-0196 7 

K. PUBLIC HEARING: 

23. Valet Parking - Rate Increase 84-0197 8 
L. COMMUNICATIONS: 10 
M. TRAILING CALENDAR: 10 
N. CLOSED SESSION: 4 
0. ADJOURNMENT: 10 



Minutes, June 26, 1984, Page 3 



Minutes 

of the 

Airports Commission 

Special Meeting 
June 26, 1984 



A. CALL TO ORDER: 

The special meeting of the Airports Commission was called to order at 
9:00 A.M. in Room 2B, City Hall, San Francisco, Ca. 



N. CLOSED SESSION: 

The meeting was adjourned at 9:06 A.M. to go into closed session and 
reconvened at 9:40 A.M. 



B. ROLL CALL: 

Present : 



Commissioners William K. Coblentz, 
Ruth S. Kadish, Z. L. Goosby, 
J. Edward Fleishell 



Absent: 



Commissioner Morris Bernstein 



C. ADOPTION OF MINUTES: 

The minutes of the regular meeting of June 5, 1984 were adopted by order 
of the Commission Vice President. 



ITEMS RELATING TO ADMINISTRATION, OPERATIONS AND MAINTENANCE: 

The following items were taken out of order and unanimously adopted. An 
exact court reporter's transcript of items 6 and 7 is attached. 

6. Contract 1414AB Boarding Area B Renovation, Boarding Area B South 
Concession Area 



No. 840179 



Request by Trans Bay/Lathrop for 
Commission authorization to substitute 
sub-contractor Fischbach and Moore in 
place of WSB Electric, Inc. to perform 
the electrical subcontract work on 
Contract No. 1414AB. 



Minutes, June 26, 1984, Page 4 



A substitute resolution rejecting all bids was unanimously adopted for 
item 7. 

7. Award of Contract No. 1535-R 

Re-roofing of Engineering Building 

No. 84-0180 



The following items were unanimously adopted. 

8. Airport Contract No. 1250-C 

Pavement Overlay and Relocation of Lights of Runway 1R-19L 

No. 84-0181 Resolution awarding Airport Contract 

No. 1250-C, Pavement Overlay & 
Relocation of Lights of Runway 1R-19L, 
to the Lowrie Paving Co., Inc., P. 0. 
Box 2465, South San Francisco, CA 
94080, in the amount of $1,331,940.00. 



Commissioner Goosby said he thought attempts should be made to hire those 
people who will lose their jobs. He said he talked to the Airport's Human 
Rights Commission representative about this matter. He said he hoped the 
Human Rights Commission receives a copy of the letter sent to these 
individuals explaining that it is out of the Airport's hands. 



Resolution Awarding Two Leases and One Permit for Shoeshine 
Operations in Terminal Buildings. 

No. 84-0182 



The following item was put over to the July 11 meeting. 

10. Resolution Approving Modification No. 5 to Professional Services 
Agreement with Farella, Braun and Martel 

Commissioner Fleishell said he would not agree to an additional sum 
of money and that controls should have been imposed. He said that 
the total amount of money spent is unbelievable. 

Commissioner Coblentz said this question has been raised before with 
other attorneys. He suggested that since no one from the firm is 
present the item be put over. 



The following items were unanimously adopted. 

11. Commendation for Elsa Cameron 

No. 84-0183 Resolution commending Elsa Cameron and 

staff on receipt of the Chamber of 
Commerce Arts Awards. 



12. Modification and Extension of Professional Services Agreement - Iver 
C. Larson and Associates - Professional Safety Consultants - $17,300. 

84-0184 Modification and extension of 

Professional Services Agreement - 
Iver C. Larson and Associates - 
Professional Safety Consultants - 
$17,300. 



Minutes, June 26, 1984, Page 5 



13. Tenant Improvement: United Airlines Maintenance and Operations Center 

No. 84-0185 1. Modify Building 11, Maintenance 

Facility for Servicing Boeing 767/ 
DC 8 Aircraft - T-2884 - 
$3,000,000. 

2. Replacement of Fire Water Main be- 
tween Building 15 and Building 74. 
T-2885 - $60,000 - No Rental Credit 

Resolution approving plans and 
specifications and authorizing 
construction. 



14. AOCI Pacific Basin Definition 

No. 84-0186 Requesting AOCI Board of Directors to 

amend their rules so as to allow those 
airport operators within 100 miles of 
the Pacific Coast of North and South 
America the option of belonging to 
either the Asia Pacific Region or the 
North America Region. 

Commissioner Fleishell said that the benefits of joining the AOCI are 
illusory and that the AOCI should be so informed. 

Commissioner Kadish said that no one ever bothered to approach the 
Airport for an opinion and that the decision is simply being imposed 
on SFO. 

Mr. Turpen said he would communicate the Commission's thoughts to the 
AOCI. 



15. Proposed Exhibitions Program, Fiscal Year 1984/1985 

No. 84-0187 Proposed Exhibitions Program for the 

fiscal year 1984/1985, listing the 
proposed exhibits with descriptions. 



A substitute resolution was unanimously adopted. 

16. Automobile Service Station on Main Exit Road 

No. 84-0188 Resolution approving the month-to- 

month tenancy to Chevron USA for the 
Automobile service station on the Main 
Exit Road until the award of a new 
lease. 

Mr. Turpen explained that the substitute resolution would continue 
the service station operation on a month-to-month basis at a $5,000 
per month rental. 



Minutes, June 26, 1984, Page 6 



CONSENT CALENDAR OF ROUTINE ADMINISTRATIVE MATTERS: 
The following items were unanimously adopted. 
17. Employment Retirement 

Resolution expressing best wishes for 
the fullest measure of health and 
happiness to all in a long and 
fruitful retirement. 

No. 84-0189 Orville Brogan Sewage Plant 

No. 84-0190 Masanori Hirasuna Sewage Plant 

No. 84-0191 Nikolai G. Makaroff Utilities 



18. Tenant Improvement: Hertz Lot A 

No. 84-0192 Resolution approving design and 

construction of new gasoline structure 



19. Tenant Improvement: Northwest Orient Airlines Cargo Directory Sign - 
Plot 9A 

No. 84-0193 Resolution approving plan and 

authorizing construction. T-2777SUPP, 
6/8 $8,000 No Rental Credit. 



20. Tenant Improvement: PSA South Terminal Pier "e" New Loading Bridge 
and Boarding Gate West of Gate 37B 
T-2888 - $65,000 - No Rental Credit. 

No. 84-0194 Resolution approving the plans and 

authorizing construction. 



21. RTR/Localizer for Runway 28L 

No. 84-0195 Resolution approving modification #004 

to FAA lease FA-66 WE-2083 for the 
relocation of FAA equipment shelter 
for the RTR/Localizer for Runway 28L. 



22. Microwave Grid Antennas for "new" Controller Tower 

No. 84-0196 Resolution approving modification #001 

to FAA "new" Control Tower lease for 
the installation and maintenance .of 
two microwave grid antennas. 



Minutes, June 26, 1984, Page 7 



The Public Hearing was opened at 10:00 A.M. and closed at 10:02 A.M. 

PUBLIC HEARING: 

The following item was unanimously adopted. 

23. Valet Parking - Rate Increase 

No. 84-0197 Attached resolution recommending to 

raise the valet fee from $15 to $16 
effective August 1984. 

Mr. Turpen said no one was present to address the issue. He 
recommended putting the item over until Commissioner Bernstein's 
return. 

Commissioner Coblentz and Kadish denied Mr. Turpen's recommendation. 



SPECIAL ITEM: 

The following item was unanimously adopted. 

1. Retirement of Betty M. Thanos, Principal Accountant 

No. 84-0176 Resolution expressing sincere 

appreciation and deep gratitude for a 
job well done to Betty M. Thanos who 
is retiring on July 20, 1984. 



E. DIRECTOR'S REPORTS: 

2. Development of International Terminal Arrivals Level Concessions 
Facilities 

Report on International Terminal 
arrivals level concession development 
and recommending a temporary food/ 
beverage cost operation pending final 
development of a vending alcove, with 
adjoining cookie and food/beverage 
facilities. 

Mr. Turpen said that pursuant to Commission direction staff conducted 
a survey which identified the need for a food and beverage service in 
the International Terminal arrivals area. Staff wishes to proceed in 
the manner outlined in the memo to the Commission. He said that Mr. 
Bouey has voiced some concerns about the carpet and selling food in 
the lower level. He asked that the Commission support the program as 
outlined. 

Commissioner Kadish assumed that the term "mobile cart" did not refer 
to a permanent installation or one that moved from place to place. 

Mr. Turpen responded that it was a semi-permanent installation. 



Minutes, June 26, 1984, Page 8 



ITEMS INITIATED BY COMMISSIONERS: 

Commissioner Kadish introduced a resolution commending staff on a job well 
done during the June 15, 1984 gas main break in the South Terminal. 

No. 84-0177 



E. DIRECTOR'S REPORTS (continued): 

The following item was put over. 

3. International Terminal Principal Concession Lease - Soaps, Lotions 
and Flower Sublease 

Mr. Turpen said staff was trying to get some counts and asked that 
the item be put over. He said staff will communicate to the 
Commission in the interim and proceed as appropriate. 



Commissioner Goosby said that Host indicated they would put a cart in 
that area to test the market but that they also had approval to start 
developing an area for a restaurant. 

Mr. Turpen said that there is a three phase plan which includes a 
market test with a cart. If that turns out to be a good idea staff 
will go back to the Commission for approval to install permanent 
facilities in that area. He emphasized that initially it is simply a 
test. 



G. POLICY: 

The following items were unanimously adopted. 
4. Airports Commission Rules and Regulations 

1. Resolution including smoking and 
non-smoking areas in the public 

No. 84-0199 lounges and airline boarding areas. 

2. Corrections to Airports Commission 
No. 84-0198 Rules and Regulations. 

Commissioner Kadish said that the modification to the Rules and 
Regulations pertains to the boarding areas and asked that the lounges 
and areas over which the Airport has jurisdiction be included. 

Mr. Turpen said he would take care of it. He said that the airlines 
have agreed to the Airport's Rules and Regulations but a policy 
statement could be made. 

Commissioner Kadish said she would like it in writing. 

Mr. Turpen responded that it would be confirmed to her in writing. 



Minutes, June 26, 1984, Page 9 



H. POLICY REVIEW: 

The following items were unanimously adopted. 

5. Review of Policies Adopted by the Commission from July through 
December, 1982. 

No. 84-0200 Policy - ANMAP Noise 

No. 84-0201 Policy - Noise 

No. 84-0202 Policy - Delinquent Accounts 

Commissioner Kadish questioned the policy dated July 6, 1982 and said 
that the phrase "or more" was catchall. 

Mr. Turpen said it should read "per month" rather than "or more." 



L. COMMUNICATIONS: 

There was no discussion by the Commission. 



M. TRAILING CALENDAR: 

There was no discussion of items on the trailing calendar, 



O. ADJOURNMENT: 

There being no further calendared business before the Commission the 
meeting adjourned at 10:15 A.M. 



Jean Caramatti 
Commission Secretary 



Minutes, June 26, 1984, Page 10 



COPY 



SAN FRANCISCO AIRPORTS COMMISSION 

Room 2B, San Francisco City Hall 

Tuesday, June 26, 1984 
9:00 A.M. 



SUBJECT: ITEM 6 W.S.B. ELECTRIC, INC./ TRANS BAY 
LATHROP JOINT VENTURE 



Reported by: 

THOMAS A. LIBATIQUE, C.S.R. 

Certificate #1550 



HARRY A. CANNON. INC 

HIBKRNI A BANK BLDO.. SUITE 550 

201 CALIFORNIA STREET 

SAN FRANCISCO. CALIFORNIA 941 1 1 

(413)391-7421 



1 BE IT REMEMBERED that, on Tuesday, June 26, 19 84, 

2 commencing at the hour of 9:00 o'clock a.m. thereof, in 

3 Room 2B, San Francisco City Hall, San Francisco, 

4 California, before me, THOMAS A. LIBATIQUE, a Certified 
6 Shorthand Reporter and Notary Public in and for the 
6 State of California, personally appeared: 
7 

8 WILLIAM COBLENTZ 

9 RUTH S. KADISH 

10 DR. Z. L. GOOSBY 

11 J. EDWARD FLEISHELL 

12 LOUIS A. TURPEN, Director of Airports 
13 

14 BURKE AND KESSLER, 436 - 14th Street, Suite 1303, 

15 Oakland, California 94612, represented by BRUCE T. H. 

16 BURKE, Attorney at Law, appeared as counsel on behalf of 

17 W.S.B. Electric, Inc. 
18 

19 ROGER HUGhES , representing Trans-Bay Electric. 

20 
21 
22 
23 
24 
25 



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MR. COBLENTZ : Unless there is any objection, we 
will call for Item 6, approval of the contract, the 
boarding area B renovation, south area. 

MR. FLEISHELL: Move. 

MS. KADISH: Second. 

MR. TURPEN: I believe it's a very straightforward 
substitution of subcontractor, and that would recommend 
the substitution. 

MR. COBLENTZ: Any questions on this, any 
discussion? Please. 

MR. BURKE: Yes. Bruce Burke, representing the 
objector, W.S.B. Electric, the subcontractor who is being 
substituted out. 

We have filed a brief in this matter. I don't 
know if the Commissioners have seen it. 

MR. COBLENTZ: Yes, all material has been given to 
the Commissioners, and I always assume they read it. 

MR. BURKE: Very good. Our position is, basically, 

that the substitution is pretextual because of W.S.B. 

Electric's non-union status. 

« 
W.S.B. Electric is willing to execute a 

subcontract similar to the one that is attached as 

Exhibit G to our papers. 

They have executed contracts with Mr. Van Pelt, 

who is the contracting officer for the prime contractor 



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before, and they are willing, ready and able to execute 
subcontracts containing the same terms. 

They are not, however, willing to execute a 
subcontract which contains the proponent terms which 
would make them liable for any union stoppage, delays or 
damages, and that is contained in the first part of 
Exhibit A, the amplification of the subcontract where 
Lathrop indicates that W.S.B. Electric would take full 
responsibility and be liable for all damages arising out 
of its non-union status. 

In short, W.S.B. Electric is willing to 
execute a contract which contains general terms, 
conditions, plans, and based upon the general terms and 
conditions and plans and specifications which are 
customary for non-union contractors to execute. 

MR. COBLENTZ : Are there any questions? 

MR. BURKE: Any questions which I might address? 
Thank you. 

MR. GARIBALDI: There is a representative from 
Trans-Bay Lathrop here. 

ROGER HUGHES: If it please the Commissioners, my 
name is Roger Hughes and I represent Trans-Bay Lathrop 
in this matter. 

I am prepared to be rather long or rather 
short, depending upon how much the Commissioners feel 



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they are familiar with the position paper that we 
submitted, which I think was fairly lengthy, but covered 
in quite a bit of detail the background of what took 
place . 

I think the most important thing to realize 
is that the basis of the protest to our request for 
substitution is our insistence upon some type of 
unusual provision regarding the responsibility of the 
subcontractor for damages that might result from his 
non-union status. 

I would like to say that that is essentially a 
red herring. That was not the issue at all that led 
to W.S.B.'s refusal to sign the subcontract. 

What took place over a period of time was 
Trans-Bay Lathrop's growing concern about potential 
problems that might present themselves because of the 
non-union status. 

Our attempt to meet with the executives of 
W.S.B. to determine how the ground rules for proceeding 
with the project would be laid out and who would take 
responsibility for these matters. 

The fact is that we could not get through to 
W.S.B. , and their whole attitude was one of lack of 
concern. 

A protest was filed by several unions on the 



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basis of W.S.B.'s failure to comply with state law. 

A hearing was set before this very Commission 
to determine whether Trans-Bay's Lathrop bid should be 
thrown out on the basis of W.S.B.'s failure to comply 
with state laws with respect to union matters. 

We weren't taking sides on that issue, but we 
tried very hard to get in touch with W.S.B. to find out 
how they were going to respond to these problems, how 
would they respond to other problems on the job site. 

The phone calls that were made to Mr. Williams 
were not taken. He did not return those calls, and in a 
sense of frustration, Mr. Van Pelt unilaterally set up a 
meeting on March 5 and we generated the March 2nd letter, 
which is the subject of the protest to our request to 
substitute, which set forth our interpretation of the 
standard indemnity laws which we have in our standard 
subcontract agreement. 

We did not sit there and say you will sign 
this and you will sign nothing else. We said this is our 
interpretation, and that is attached as an exhibit to the 
contract. 

MR. COBLENTZ : I think we have seen all this 
material. 

ROGER HUGHES: If you have seen all that material, 
you will see that this was our interpretation and we had 



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1 

2 
3 
4 
5 
6 
7 
8 
9 

10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
25 



a meeting scheduled for March 5th to discuss that matter. 
Mr. Williams did not show up. No one from W.S.B. did 
show up, even though we had communicated that to him. 
We also attempted to contact Mr. Williams 
through the attorney that we thought was his legal 
lawyer, and we even had that gentleman at the meeting witr 
us, and even he was unsuccessful in getting through to 
Mr. Williams. 

Mr. Williams did not show up on March 5th. We 
waited half an hour and called his office. 

MR. COBLENTZ : Excuse me, I think we have most of 
this data. We have the memoranda that was prepared for 
us. We read all the materials. 

Does any member of the Commission have any 
questions they want to address? 

MR. FLEISHELL: I have none. 

MR. COBLENTZ: What is the desire of the Commission 

MS. KADISH: Call for the question. 

MR. FLEISHELL: Call for the question. 

MR. COBLENTZ: All those in favor signify by saying 



aye 



VOICES: Aye. 

MR. COBLENTZ: Contrary? Matter is approved. 



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TELEPHONE 
391-7421 



STATE OF CALIFORNIA 



CITY AND COUNTY OF SAN FRANCISCO ) 



SS. 



I hereby certify that the foregoing 
proceedings, San Francisco Airports Commission Hearing, 
Item 6, were taken at the time and place therein stated, 
and were reported by me, THOMAS A. LIBATIQUE, a 
Certified Shorthand Reporter and disinterested person, 
and were thereafter transcribed into typewriting. 

And I further certify that I am not of 
counsel or attorney for either or any of the parties to 
said proceedings, nor in any way interested in the 
outcome of the cause named in said proceedings. 

IN WITNESS WHEREOF, I have hereunto set my hand 



and affixed my seal of office this 



, 1984. 




/fSft^ THOMAS A. LIBATIQUE f 



day of 



20I CALIFORNIA STREET 
SAN FRANCISCO 



HARRY A. CANNON, INC. 

DEPOSITIONS • NOTARIES 
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TELEPHONE 
391-7421 




SAN FRANCISCO AIRPORTS COMMISSION 

Room 2B, San Francisco City Hall 

Tuesday, June 26, 1984 
9:00 A.M. 



SUBJECT: ITEM 7 AWARD OF CONTRACT NO. 1535-R 
RE-ROOFING OF ENGINEERING 
BUILDING 



Reported by: 

THOMAS A. LIBATIQUE, C.S.R. 
Certificate #1550 



HARRY A. CANNON. INC 

CtttifuJ c^iiuiUti and eA/ota\m 

HIBERNIA BANK BLDC SUITE 550 

201 CALIFORNIA STREET 

SAN FRANCISCO. CALIFORNIA 941 1 1 

(415) 391-7421 



AJRRY A. CANNON, INC. 



LLsxtifisd J\£.hoxtvii. ana. cNotaxisi. 

HIBERNIA BANE BUILDING - SUITE S-A 

201 CALIFORNIA STREET 

SAN FRANCISCO, CALIFORNIA 94111 

TELEPHONE. (413) 391-7421 



July 31, 1984 

Airport Commission 

P. 0. Box 8097 

San Francisco International Airport 

San Francisco, California 94128 

Attn: Jean Caramatti 

In re: Airport Commission Hearings 

Dear Ms. Caramatti: 

The following corrections has been made on Subject: Item 7 

PAGE NO. LINE NO. CHANGE 

12 21 "next four to eight weeks" 'instead 

of "next forty weeks" 

Thank you for your cooperation. 

Very truly yours, 
/ 



Thomas Libatique / / ^ 
HARRY A. CANNON, INC. 



BE IT REMEMBERED that, on Tuesday, June 26, 1984, 
commencing at the hour of 9:00 o'clock a.m. thereof, in 
Room 2B, San Francisco City Hall, San Francisco, 
California, before me, THOMAS A. LIBATIQUE, a Certified 
Shorthand Reporter and Notary Public in and for the 
State of California, personally appeared: 

WILLIAM COBLENTZ, Vice President 

RUTH S. KADISH 

DR. Z. L. GOOSBY 

J. EDWARD FLEISHELL 

LOUIS A. TURPEN, Director of Airports. 

STAN, representing Stan-the-Man Roofing Service. 
VICTOR TKUESEN, representing San Francisco 

Building Trades Council. 
STAN SMITH, representing San Francisco Building 

Trades Council. 
DENNIS BOUEY. 



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1 MR. COBLENTZ: Item number 7, Item number 7 is 

2 the award of the contract for re-roofing of the 

3 I engineering building. 

4 STAN: Sir, I'm the president of the corporation 

5 y that was awarded this, that won the contract bid. 

6 MR. COBLENTZ: Stan, the Roof Man. 

7 STAN: Stan, the Roof Man. 

8 MR. COBLENTZ: Well, let's wait. We have the 

9 materials here, the protest, we have Mr. Stan Smith, 

10 the San Francisco Building Trades Council. Stan, do 

11 you want to — I'm sorry. 

12 VICTOR THUESEN: Very briefly, it is the position 

13 of the San Francisco Building Trades Council, whom I 

14 represent in this matter, the Stan- the-Man Roofing 

15 Service does not presently comply, and is not in 

16 compliance with the terms and conditions set forth in 

1 7 Section 6.33 and 645 of the San Francisco Administrative 

18 Code, and for that reason, the contract cannot be awarded 

19 pursuant to your awarding authority. 

20 By way of explanation, I think the documents 

21 that are relevant to this matter are before the members 

22 of the Commission. 

*3 That Ordinance was passed approximately two 

2* years ago, and the Ordinance specifically provides, among 

^ 6 other things, that an awarding contractor, or a contractor 



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recipient to an award of work of this sort must prove 
what the Ordinance describes as proof of participation 
as a signatory to a recognized apprenticeship and/or 
training program under Chapter 4 commencing at Section 
307 — 

MR. COBLENTZ: Mr. Thuesen, I think we have read 
all that. The question I have for you is, as I 
understand from the material I have seen, that he has 
filed with the State Apprenticeship Program. 

MR. THUESEN: That's correct. 

MR. COBLENTZ: But, he hasn't received anything 
from them, although they said that he has complied. Why 
haven't they responded any other way? 

MR. THUESEN: He is untimely, that's why. He has 
waited until this agency has advised him of the 
requirements for the awarding of the bid, and scurried 
over to the California State Apprenticeship Council and 
made application, but he is untimely. There is no way 
he can be in compliance with this Ordinance. 

MR. COBLENTZ: What do you mean, he is untimely? 

MR. THUESEN: He is not a party. He is not a 
signatory to a recognized apprenticeship program, nor 
will he be for the life of the work being performed on 
this project. 

MR. GOOSBY: Isn't the state regulation that he has 



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to apply, and the city's Administrative Code says that 
he shall apply and be a signatory? 

MR. THUESEN: It says he has to be a signatory. 

MR. GOOSBY: That's the city. How come he hasn't 
moved on that locally to meet the Administrative Code 
regulation? 

MR. THUESEN: I have no idea why he hasn't moved on 
it. 

MR. COBLENTZ : How long does it take to be a 
signatory? 

MR. THUESEN: Let me defer to Stan Smith. 

STAN SMITH: I can answer the question about his 
moving on the apprenticeship. 

He did apply to the Joint Apprentice 
Training Committee of the roofing industry, but he 
refused to meet all the qualifications necessary that all 
the contractors do to train apprentices. 

MR. COBLENTZ: What are those? 

STAN SMITH: One of the qualifications is that his 
journeymen be tested to show they are qualified to teach 
apprentices and he has refused to meet that qualification 
Therefore, he was denied by the Joint Apprentice 
Committee. 

MR. COBLENTZ: Excuse me, maybe it's easier if we 
ask Stan the Man. Can I ask? 



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18 



VICTOR THUESEN: Sure. Stan is appropriate, I 
believe. 

MR. TURPEN: Stan, would you come up to the 
microphone, please? 

MR. COBLENTZ: We are going to make this somewhat 
informal, but I think it's helpful. 

MR. TURPEN: Would the Commission have any initial 
questions? 

MR. COBLENTZ: Well, we would like to know, the 
question, if I may address you as Stan the Man — 

STAN: Yes, that's my father, Stan the Man. I am 
the son. 

MR. COBLENTZ: This is Ruth, the woman, here. 

The question I have is that you have been, as 
I understand, you have been unwilling to meet certain 
apprenticeship standards as is required by — 

STAN: No, sir, I have never stated that I have 
been unwilling to meet anything that they have set out. 

I will more or less read a little letter over 
here that — 

MR. FLEISHELL: Before you do that, I wonder if I 
could ask a question. The statement was made that you 
refused to permit your journeymen to be tested by their 
testing committee to see if they are competent to train 
apprentices, is that a fact? 



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1 STAN: No, I have never, ever refused to tell any 

2 of my journeymen to take a test. 

3 I think my statement was, if I asked you, sir, 

4 to take a test, I don't think I could demand you to take 

5 this test. You have to take your test — take the test 

6 on its own, and I think there should be qualifications 

7 for this test. 

8 Are other roofing contractors liable to take 

9 the test? I don't even know what the test is, if they are 

10 I will give you an example. I hold a real 

11 estate broker's license, and I got this license in 1964. 

12 If someone asked me to take my real estate broker's test 

13 in 1984, I don't think I could pass it, unless someone 

14 can now -- going to the other section, even the real 

15 estate broker's examination, even to hold your license, 

16 you may go to ten meetings and get credits, but you are 

17 never asked to take that test again to prove that I was 

18 qualified at that particular time. 

19 It is the same thing with the roofing trade. 

20 I would like to see that. 

21 MR. COBLENTZ: Okay. 

22 MR. FLEISHELL: Mr. Smith? 

23 STAN SMITH: Yes. 

24 MR. FLEISHELL: What are the criteria for this test 

25 by your testing committee of the journeymen? Is there 



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anything in writing where a person could look at it, or 
is it just you can hammer the tack into the tarpaper? 

STAN SMITH: No, there is a structured test that 
all journeymen, in this case a roofer, goes through to 
prove that he is of journeyman status, and when you come 
in and you haven't done that structured test, then they 
have a test that is given to all journeymen. 

MR. FLEISHELL: Is it in writing? 

STAN SMITH: It is both manual and writing. 

MR. FLEISHELL: So, you would test his employees to 
see if they met your idea of what a journeyman ought to 
be? 

STAN SMITH: The standards of the industry that 
have been approved by the State of California. This is 
a Labor Management Committee. They set the standards, 
and it is approved by division. 

MR. COBLENTZ : What is the other objection, Stan? 

STAN SMITH: I have no other objection, sir. 

MR. COBLENTZ: Just the one that he hasn't had the 
journeymen take that examination? 

STAN SMITH: Yes, he doesn't meet the requirements. 

MR. COBLENTZ: That is the sole objection? 

STAN SMITH: Yes. 

MR. GOOSBY: Are you also saying, Stan, in other 
words, if you have a bona fide union journeyman roofer, 



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he is already familiar with that? 

STAN SMITH: He has gone through the structured 
apprenticeship program. 

MR. GOOSBY: And the rest of these men, they are 
not certified journeyman roofers, they are unfamiliar 
with it? 

STAN SMITH: Right, at the end of the apprenticeshif 
they take this test that certifies that they are a 
journeyman . 

VICTOR THUESEN: Let me explain, if I may, so that 
the wrong impression is not left, there is not a union 
in the State of California that is allowed under the law 
to administer these tests or administer the 
apprenticeship programs by themselves. 

As a matter of public policy over the years, 
all of that has been changed. The unions are now 
required, as a matter of law, to offer, if they offer 
apprenticeship programs, to offer them on a joint basis, 
and the joint basis includes a proviso that the 
offering must be made, that the Joint Apprenticeship 
Council must consist of an equal number of employee 
representatives to those participating by the union. That 
is to say, it's a true joint trust, and the provisions 
under which they operate the apprenticeship are all 
conditional upon meeting the requirements of the 



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10 



1 California State Law in this regard. 

2 That is to say, you cannot have a Joint 

3 Apprenticeship Training Council in the State of 

4 California unless that council and its operations and 

5 its examinations and its personnel have been first 

6 approved by the State. 

7 This city has an Ordinance that says when we 

8 contract work, the contractor must signify in a real 

9 manner that they are participatory in such a plan. 

10 Stan the Man has not done so. 

11 MR. COBLENTZ : Stan the Man, are you willing to 

12 have your journeymen take the test as set forth here? 

13 STAN: I am, sir, but let me ask — let me tell 

14 you one thing. 

15 In 1962 we were signatory to the union and 

16 we were able to have apprentices — 1962, but, yes, I 

17 am willing to have anybody take an examination. 

18 MR. GOOSBY: Will that mean that your roofers will 

19 do it because you are willing, because your reservation 

20 W as you felt you couldn't order them to do it? 

21 STAN: Well, sir — 

22 MR. GOOSBY: All right, if we do this contingent 

23 upon them taking the examination and being approved -- 

24 STAN: Do you think that maybe I could review the 

25 test? 



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11 



1 STAN SMITH: No. 

2 STAN: There are some of our journeymen who are 

3 contractors for the State of California now. 

4 MR. COBLENTZ: Wait a minute, I don't want to get 

5 into that. Let me ask you, Stan, how long is it before 

6 somebody applies and takes the test? 

7 MR. THUESEN: How long before he applies can he 

8 take the test? 

9 VOICE: Probably a week. 

10 VOICE: Immediately. 

11 MR. THUESEN: A week? 

12 MR. TURPEN: I'm sorry, did he say a week? 

13 MR. COBLENTZ: He said immediately. Immediately? 

14 Fine. What is the feeling of the Commission if we put 

15 this over until the next meeting, which will be on the 

16 nth of July? 

17 MR. GARIBALDI: We have a time problem. 

18 DENNIS BOUEY: Excuse me a minute. Commissioners, 

19 bids were received approximately fifty-eight days ago. 

20 There is a sixty-day time requirement. For us to extend 

21 it, we would need both the approval of the Board of 

22 Supervisors and all the bidders. 

23 MR. GOOSBY: And, when is the deadline? 

24 DENNIS BOUEY: There is a sixty-day period within 

25 which to award. 



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12 



1 MR. GARIBALDI: June 29. 

2 MR. GOOSBY: June 29? 

3 DENNIS BOUEY: Which is also fixed by the city's 

4 Administrative Code. 

5 MR. COBLENTZ: Now, as I understand it, the next 

6 lowest bidder is also non-union, but there is no protest? 

7 MR. THUESEN: We have no object to that. 

8 MR. GOOSBY: Are you saying we can't hold it over? 

9 MR. COBLENTZ: What is the feeling of the 

10 Commission? I'm sorry, staff? 

11 MR. TURPEN: The Commission really has three 

12 choices. First, second or reject all bids and recycle 

13 this one. Time is such that I think if the Commission 

14 elects alternative three, we can rebid this. 

15 MR. COBLENTZ: You can do it? 

16 MR. TURPEN: We can rebid it. It will not impact 

17 the project. Dennis -- 

18 MR. COBLENTZ: Dennis, is that right? 

19 DENNIS BOUEY: Yes, that's right, Commissioner. 

20 we have no problem^ We just would want to rebid within 

21 the next forty weeks to make sure we beat the rainy 
season. 

23 MR. COBLENTZ: I would suggest to the Commission 

24 that we vote for number three alternative, rebidding 

26 this, and Stan the Man will have an opportunity to have 



201 CALIFORNIA STREET HARRY A. CANNON, INC. TELEPHONE 

SAN FRANCISCO DEPOSITIONS • NOTARIES 381-7421 

LITIGATION SUPPORT SYSTEMS 
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22 



13 



his people involve themselves in the apprenticeship 
program. If you can't do it, okay. I can't see my Bar 
exam in advance, you shouldn't see yours. 

STAN: How many men go over there for this test? 

MR. TURPEN: You can work this out with these 
gentlemen. 

MR. FLEISHELL: I would make a motion to reject all 
bids. 

MR. TURPEN: Reject and rebid. 

MR. COBLENTZ: Moved and seconded? Unanimous. 
Thank you. 



201 CALIFORNIA STREET HARRY A. CANNON, INC. TELEPHONE 

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STATE OF CALIFORNIA 



CITY AND COUNTY OF SAN FRANCISCO ) 



14 



I hereby certify that the foregoing 
proceedings, San Francisco Airports Commission Hearing, 
Item 7, were taken at the time and place therein stated, 
and were reported by me, THOMAS A. LIBATIQUE, a 
Certified Shorthand Reporter and disinterested person, 
and were thereafter transcribed into typewriting. 

And I further certify that I am not of 
counsel or attorney for either or any of the parties to 
said proceedings, nor in any way interested in the 
outcome of the cause named in said proceedings. 

IN WITNESS WHEREOF, I have hereunto set my 
hand and affixed my seal of office this ■ y/l- - ^ay 



of 



1984 



rlllllMIUHHIIUIIIUIUIIIIIIIIIIIIUUIIUUtlHtl* 
^^ OFFICIAL SEAL 

I ^2& THOMAS A. LIBATIQUE 

- («?SS*J NOTARY WMX ■ CAtlfOBNIA 
1 ^3$/ COUNTY Of SAM FUMCISCO 

SlHlJHI* "M ,,,,,, " m,,,,, "7 M V1 t jJ ,,, *"' : ' : ' 



IIIIMIBIIM'IIIM'.IIUIIIIIIITI' 



20I CALIFORNIA STREET 
SAN FRANCISCO 



HARRY A. CANNON, INC. 

DEPOSITIONS - NOTARIES 
LITIGATION SUPPORT SYSTEMS 
REFERENCING BY COMPUTER 



TELEPHONE 
391-7421 



SAN FRANCISCO 
AIRPORTS COMMISSION 




DOCUMENTS DEPT. 
OCT 1 9 1984 

SAN FRANCISCO 

pun! ir • i.,„aby 



MINUTES 



Special Meeting 
July 11, 1984 



DIANNE FEINSTEIN, MAYOR 

COMMISSIONERS 

MORRIS BERNSTEIN 

President 

WILLIAM K. COBLENTZ 

Vice-President 

RUTH S. KAOISH 

DR. Z.L. GOOSBY 

J. EDWARD FLEISHELL 



LOUIS A. TURPHN 

Director of Airports 



San Francisco International Airport 
San Francisco, California 94128 



Index 

of the Minutes 

Airports Commission 

Special Meeting 
July 11, 1984 



Calendar 


Agenda 




Section 


Item 


Title 


A. 




CALL TO ORDER 


B. 




ROLL CALL 


C. 




ADOPTION OF MINUTES 


D. 




DIRECTOR'S REPORTS: 



Resolution 
Number 



84-0203 



Page 

3 
3 
3 



Airport Motor Coach 
Service Agreement 

Summer 1984 Exhibitions 



4-6 
6 



E. 



ITEMS INITIATED BY 
COMMISSIONERS 



ITEMS RELATING TO ADMINISTRATION, 
OPERATIONS AND MAINTENANCE: 



Automobile Service Station 
Lease/Bid - Specifications 
and Pre-Bid Conference 



84-0204 



6-7 



Resolution Approving Modifi- 
cation No. 5 to Professional 
Services Agreement with 
Farella, Braun and Martel 



84-0205 



Access and Utility Easements 
to SamTrans Maintenance 
Facility 84-0206 

Award of Professional Services 
Contract to Williams & 
Williams, Carpet Testing 
Laboratories 84-0207 



Bid Call Contract No. 1275: 
Relocation of Utilities - 
Lower Level Loop Road 

Resolution Approving Modifi- 
cation No. 6 to Profes- 
sional Services Agreement 
with Howard A. Friedman - 
$325,000 



84-0208 



84-0209 



8-9 



Minutes, July 11, 1984, Page 1 



Calendar Agenda Resolution 

Section Item Title Number Page 

9. Definition of Pacific Basin 84-0210 9 

G. CONSENT CALENDAR OF ROUTINE 

ADMINISTRATIVE MATTERS: 

10. Award of Contract No. 1200B(10), 

Additional Door Alarms - 

International Terminal 84-0211 10 

11. Award of Contract No. 1594 - 

Replacement of Gate Room 

Doors - North Terminal 84-0212 10 

12. Final Modification and 

Close-Out of Contract 1200BU) 

Central Terminal Renovation 

$304,276.97 84-0213 10 

13. Close-out of Professional 

Services Contract with 

Robert B. Wong, A. I. A., 

Architect 84-0214 10 

14. Resolution authorizing Director 

to transfer funds already set 
aside for asbestos removal in 
Contract 1410EF, South Terminal 
Renovation, Phase II, to Con- 
tract 1410ABCD, South Terminal 
Renovation, Phase I, and 
Contract 1414AB, Boarding Area 
B Reconstruction 84-0215 11 

15. Resolution Authorizing Rental 

Credit for Work Performed 84-0216 11 

16. Travel-Training Request for 

Fiscal Year 1984-85 84-0217 11 

H. COMMUNICATIONS 11 

I. TRAILING CALENDAR 11 

J. CLOSED SESSION 84-0218 3 



K. ADJOURNMENT 



11 



Minutes, July 11, 1984, Page 2 



Minutes 

of the 

Airports Commission 



Special Meeting 
July 11, 1984 



A. CALL TO ORDER: 

The special meeting of the Airports Commission was called to order at 
9:05 A.M. in Room 2B, City Hall, San Francisco, Ca. 



B. ROLL CALL: 

Present 



Commissioners William K. Coblentz, 
Z. L. Goosby, J. Edward Fleishell 



Absent : 



Commissioners Morris Bernstein, 
Ruth S. Kadish 



J. CLOSED SESSION: 

The meeting adjourned at 9:06 A.M. to go into closed session and 
reconvened at 9:20 A.M. 



C. ADOPTION OF MINUTES: 

The minutes of the regular meeting of April 3, 1984 were adopted by order 
of the Commission Vice President 

No. 84-0203 



Minutes, July 11, 1984, Page 3 



DIRECTOR'S REPORTS: 

1. Airport Motor Coach Service Agreement 

Report approving the requirement for 
pre-qualif ication on operator as a 
requisite to bid on the Airport Motor 
Coach Service Agreement. 

Mr. Lou Turpen, Airport Director, explained that the report discusses 
the pre-bid conference, a bid and a requirement that the bidders sub- 
mit a satisfactory fixed stop location in San Francisco which will 
meet specific criteria. He said that staff has outlined the type of 
criteria and will be refined after the pre-bid conference. Staff 
will return to the Commission after the pre-bid conference with the 
specifications and comments. 

Commissioner Fleishell asked why the method for payment of rent was 
changed. He said that instead of getting 16-1/2 percent of the gross 
revenues the Airport will now charge a lower percentage of the 
deplaned passengers. 

Mr. Turpen responded that the Commission discussed the question of 16 
percent of the market using the service versus the percentage of the 
available market at the Airport to encourage the operator to try and 
attract that market. 

Commissioner Fleishell remarked that about a year ago he made a 
comparison of a particular aspect of Chicago's operation with SFO's 
but was told that the two are not comparable because Chicago is not a 
destination, it is a hub. Commissioner Fleishell argued that San 
Francisco is now also a hub and asked how can we get an honest count. 

Mr. Turpen responded that 90 percent of the Airport's passengers are 
originating/destination passengers whereas Chicago still has 60 to 70 
percent that are through passengers. 

Commissioner Fleishell did not understand why the Airport is changing 
the method of calculating and asked if other airports were calculat- 
ing in this fashion. 

Ms. Gittens responded that she did not know the methods used by other 
airports, however, she believed that this was brought up in a pre-bid 
conference about two years ago. She said that it apparently was 
acceptable to the bus companies and would benefit the Airport in 
terms of having some control over what the actual revenue is. Ms. 
Gittens said that they currently have a self-reporting operation. 

Commissioner Fleishell countered by saying that all concessions are 
self-reporting. 

Ms. Gittens responded that a bus operation or shoeshine operation is 
more difficult to monitor. She said that the Airport is putting 
shoeshines on a straight minimum with no percentage. She recommended 
doing something other than a percentage of gross wherever feasible. 

Commissioner Fleishell asked why a- bus operation is different. 

Ms. Gittens responded that since they are not located at the Airport 
it is difficult to monitor their operation on a continuing basis. 

Commissioner Fleishell said that a bus company has to have ten times 
the control because it is an all-cash operation. 



Minutes, July 11, 1984, Page 4 



Commissioner Goosby asked what the minimum guarantee was. 

Ms. Gittens responded that it is $12,000 a month but they are doing 
about $12,500. 

Mr. Turpen said that the deplaned passenger approach is fairly 
straightforward and you don't get into the routine of changing rate 
structures. He proposed formulating both approaches and presenting 
them at the pre-bid conference and then report the reactions back to 
the Commission. 

Commissioner Goosby asked if an estimate of projected income has been 
done for each method. 

Mr. Turpen said the Commission can be given an estimate of what the 
Airport would be paid under the new formula. 

Commissioner Fleishell asked if staff considered taking a percentage 
over a five year term and multiplying the number of people by an 
inflation factor. 

Ms. Gittens responded that it has not been considered but it could be 
built into the formula. 

Commissioner Goosby asked what staff meant by the statement "solici- 
tations of any sort would be prohibited on the motor coach." 

Mr. Turpen responded that the prohibition referred to advertising on 
the outside of motor coaches or on the inside of the windows. 

Commissioner Goosby interpreted "solicitation" to mean someone going 
up and down the isle of the bus asking passengers for money. He said 
staff might be referring to banning advertisements inside the bus but 
did not think that the company should be denied that opportunity. 

Commissioner Fleishell said the bus company could also be soliciting 
for the purpose of selling tours. 

Mr. Turpen said he would clear up the wording. 

Commissioner Fleishell, regarding the inflationary factor, said that 
it was considered because the five, one-year renewal provides for 
consideration of going into the extended period but it is not shown 
in the base count. 

Ms. Gittens responded that it was not built into this formula. 

Mr. Turpen said that solicitation in the baggage claim area was also 
prohibited per the Airports Commission Rules and Regulations. The 
booths, which will be established in that area, will be available to 
passengers seeking information. 

Commissioner Goosby said he was not opposed to ads on the outside of 
the bus. 

Commissioner Fleishell said all the other buses and taxis entering" 
the Airport have advertising on the outside. 

Mr. Turpen said that taxis have advertising but he was not certain 
that other buses did and specifically mentioned that Marin Airporter 
and Santa Rosa Airporter do not. 

Commissioner Goosby asked if SamTrans had advertising on the outside 
of their buses. 



Minutes, July 11, 1984, Page 5 



A representative from SamTrans said that there is no advertising on 
the outside of their buses. 

Commissioner Goosby felt that advertising would be a good revenue 
source. 

Commissioner Coblentz said it should be looked at. 

Commissioner Fleishell said that the research should not delay the 
specifications. 



2. Summer 1984 Exhibitions 

Information and descriptions of the 
summer 1984 exhibitions. 

Mr. Turpen said the report was advisory and self-explanatory. 



E. ITEMS INITIATED BY COMMISSIONERS: 

There were no items initiated by Commissioners. 



F. ITEMS RELATING TO ADMINISTRATION, OPERATIONS AND MAINTENANCE: 

The following items were unanimously adopted. 

3. Automobile Service Station Lease/Bid - Specifications and Pre-Bid 
Conference. 

No. 84-0204 Resolution approving the development 

of specifications for the lease of 
Automobile Service Station and 
authorizing staff to hold a pre- 
liminary prebid conference for same. 

Mr. Turpen said that the proposal is to re-bid the service station 
and to include a towing service as part of the lease. 

Commissioner Fleishell said that the major oil companies don't com- 
pete for this type of an operation and asked if the major service 
stations had been contacted. 

Ms. Angela Gittens, Deputy Director for Business and Finance, 
responded that major service stations have been contacted but staff 
has not been able to obtain much information, nor has anyone showed 
any particular interest in bidding- Ms. Gittens did not know which 
sta- tions had been contacted. 

Commissioner Goosby asked that staff and the Human Rights Commission 
be alerted about the possibility of a joint venture. 

Ms. Gittens remarked that if staff waited until after August 10 it 
could be done as a set aside. 



Minutes, July 11, 1984, Page 6 



Commissioner Coblentz said that uninterrupted service is what is most 
important. 

Commissioner Fleishell was concerned that staff has not been talking 
to the right people. He said he has talked to two major operators in 
the City; they are both interested but neither one has been con- 
tacted by staff. He said that the Port has one of the major oper- 
ators in the City and they have not been contacted. 

Ms. Gittens said that when staff contacted station operators they 
were talking about the current 24% contract with Chevron which nets 
the Airport $500,000 a year, and no one was interested. She told the 
Commission that no one was recontacted after the lease was 
respecif ied. 



4. Resolution Approving Modification No. 5 to Professional Services 
Agreement with Farella, Braun and Martel 

No. 84-0205 

Mr. Don Garibaldi, Airports General Counsel, said that the amount 
should read $1,325,000 rather than $1,425,000. 



5. Access and Utility Easements to SamTrans Maintenance Facility. 

No. 84-0206 Resolution granting an exchange of 

roadway easement and granting a 
utility easement to SamTrans in con- 
nection with their maintenance fac- 
ility adjacent to the North Access 
Road, North of the Airport. 



6. Award of Professional Services Contract to Williams & Williams, Car- 
pet Testing Laboratories 

No. 84-0207 Resolution for testing samples sub 

mitted by manufacturers to prequalify 
mills interested in bidding the carpet 
installation contract for the South 
Terminal Complex. Maximum Contract 
Amount $15,000. 

Commissioner Fleishell said that staff should contact carpet com- 
panies that sell to hotels. 

Mr. Jason Yuen, Administrator, Bureau of Planning and Construction, 
said staff did a survey of the major hotels in the Bay Area and found 
that their specifications are very close to the Airports. 

Commissioner Goosby asked how the testing was going on the carpet. 



Mr. Yuen responded that the dyeing was not going very well. He said 
that after several cleanings the color becomes uneven so the idea was 
abandoned. 

Commissioners Coblentz and Goosby agreed that it was worth a try. 



Minutes, July 11, 1984, Page 7 



Bid Call: Contract No. 1275, Relocation of Utilities - Lower Level 
Loop Road 

No. 84-0208 Resolution authorizing the Director of 

Airports to call for bids for Airport 
Contract No. 1275, Relocation of 
Utilities - Lower Level Loop Road. 

The purpose of the contract is to re 
locate underground utilities in the 
roadway along the terminal complex. 
Settlement of the ground has caused an 
extremely serious maintenance problem 
along with an escalating rate of ser- 
vice disruptions. This project will 
relocate the water main from the road- 
way subgrade to within the parking 
structure, replace a gravity sanitary 

sewer line with a force main sewer, 
eliminate a problem plagued sewage 
pumping station, establish a new san- 
itary sewer line on the field side of 
the South Terminal and enlarge exist 
ing lines in the same area. 



Resolution Approving Modification No. 6 to Professional Services 
Agreement with Howard A. Friedman - $325,000 

No. 84-0209 Modification No. 6 extends term of 

contract to June 30, 1985, and in- 
creases scope of work to include de 
velopment and publication of Airport 
Master Plan and feasibility study/EIR 
for new parking garage structure. 
Consultant will also continue to pro- 
vide special architectural services to 
the Commission and Master Architect 
services for the South Terminal 
Reconstruction Program. 

Mr. Turpen explained that the Land Use Study is an extension of the 
Master Plan. He said that the Airport has a Terminal Master Plan but 
does not have a Non-Terminal Master Plan on file. This plan details 
what will be done in each area and the time frame anticipated. 

Commissioner Goosby asked for information on how successful the Air- 
port has been in implementing past master plans. 

Mr. Turpen responded that there has only been one master plan for the 
Airport and that was for the terminal area. He explained that as the 
Airport grew there was heavy concentration on the terminal areas and 
very little concentration on non-terminal areas. He said that as a 
result the Airport has a very loosely structured land use plan which 
was modified after the Joint Land Use Study. Late in 1980 recom- 
mendations were made concerning land use and presented to the Com- 
mission along with staff's analysis. The land use aspect of the non- 
terminal area was fairly complete but the question remains as to what 
will be done within those areas in terms of tearing down buildings, 
realigning roadways, etc. 

Mr. Turpen said that Howard Friedman will do coordinating activities 
on the Master Plan and initial feasibility studies. The staff will 



Minutes, July 11, 1984, Page 8 



pull the Master Plan together and define the basic elements and 
Howard Friedman will determine the feasibility of certain elements of 
the Master Plan, i.e. the non-terminal parking garage. 

Commissioner Goosby feared that environmentalists would look at this 
as another expansion of the Airport. 

Commissioner Coblentz asked if Park 'N' Fly will be expanded. 

Mr. Turpen responded that the parking structure that is being dis- 
cussed is designed to utilize air rights to try and create some 
parking facilities at the Airport. These will essentially be 
replacement parking facilities for facilities that already exist but 
are going to be closed in the next several years. The tentative 
location for the facility will be out where the existing economy lot 
is which is Airport-owned land. 

Commissioner Goosby said that communities should be made aware of the 
fact that this facility will be replacing existing parking and that 
the Airport is not trying to expand its parking area. 

Commissioner Goosby asked what the projected year was for garage 
parking. 

Mr. Turpen responded that the original plan was based on the assump- 
tion of the number of passengers who would require terminal area 
parking in the year 1990. 

Commissioner Goosby repeated his concern that the reasons for the new 
facility be spelled out. 



Definition of Pacific Basin 

No. 84-0210 Review of AOCI/Pacific Basin Membership 

Commissioner Fleishell thought this was a good step. 

Mr. Turpen said that other airports may follow suit. 

Commissioner Fleishell, repeating a comment of a year ago, said that 
the interests and problems of SFO are predominantly in California. 
He felt that there should be an association of California airports 
and reminded the Commission that funds have been appropriated for 
membership in such an association. 

Mr. Turpen said that two years ago, at Commissioner Fleishell' s 
suggestion, he invited Directors of the major California airports, 
(Sacramento, Oakland, San Diego, Orange and Los Angeles) to San 
Francisco for a day-long meeting. It was decided that meetings 
should be held at least semi-annually and that the next meeting would 
be hosted by George MacLaughlin of Sacramento. He said that he has 
made several calls about the meeting but it has never gotten off the 
ground. Mr. Turpen said that he has also made calls to the other 
airports in an attempt to keep in touch and find out what's happening 
in terms of the noise situation but he never gets his calls returned. 
He said that he agreed with Commissioner Fleishell's point that the 
airports are insular and not interested in the problems of other 
airports. 

Commissioner Fleishell said that there was legislation in Sacramento 
that originally encompassed all of California but Los Angeles and 
Orange County wanted no part of it. The legislation was then 
amended. The airports subsequently demonstrated an interest when 
they were sued. 



Minutes, July 11, 1984, Page 9 



Commissioner Fleishell said that at many airports there is a constant 
battle between the Director and the Commission due to the fact that 
the Commissions are advisory and not directive as is San Francisco's. 
He said that an organization is needed to achieve goals that ordin- 
arily cannot be achieved on an individual basis, sometimes due to 
political reasons. He said that someone should get this organization 
off the ground. 

Mr. Turpen said that in August or September he would be happy to make 
another try at getting people together. He said that the Commission 
has voted to set aside funds for membership in such an association 
and if it is the Commission's desire he will work with Commissioner 
Fleishell to try and generate interest in policy makers in the state 
who are affiliated with airports. 



CONSENT CALENDAR OF ROUTINE ADMINISTRATIVE MATTERS: 

10. Award of Contract No. 1200B(10), Additional Door Alarms - 
International Terminal 

No. 84-0211 



11. Award of Contract No. 1594 - Replacement of Gate Room Doors - North 
Terminal. 

No. 84-0212 Resolution Awarding Contract No. 1594 

- Replacement of Gate Room Doors to 
Habenicht & Howlett Glass, P.O. Box 
7745, San Francisco, Ca. 94120, in 
the amount of $48,219. Two bids were 
received on June 19, 1984 with the bid 
amounts ranging from $48,219 to 
$54,475. 

Commissioner Fleishell commented that the architects and consultants 
should realize that the winds blow from the west. 



12. Final Modification and Close-Out of Contract 1200B(4), Central Ter- 
minal Renovation - $304,276.97 

84-0213 Final modification to close-out 

contract including adjustments to bid 
items and Force Account payments in 
accordance with City's Administrative 
Code. 

13. Close-out of Professional Services Contract with Robert B. Wong, 

A. I. A., Architect. Original contract: $29,000; Credit: $577.76; 
close-out amount: $28,222.24. Services performed for Contract 1261, 
Interior Finishing Spaces for the U.S.O., Military Services Agencies, 
Airport Community Affairs Offices and Landside Operations Offices. 

84-0214 



Minutes, July 11, 1984, Page 10 



14. Resolution authorizing Director to transfer funds already set aside 
for asbestos removal in Contract 1410EF, South Terminal Renovation, 
Phase II, to Contract 1410ABCD, South Terminal Renovation, Phase I, 
and Contract 1414AB, Boarding Area B Reconstruction, on an as-needed 
basis. Resolution also authorizes Controller to certify such trans 
fer of funds provided that the sum of the three contracts is not 
altered. 

84-0215 



15. Resolution Authorizing Rental Credit for Work Performed 

84-0216 Resolution authorizing the instal 

lation of a sprinkler main by 
Lufthansa Airlines and reimbursement 
by rental credit not to exceed 
$46,700.00. 



16. Travel-Training Request for Fiscal Year 1984-85 
84-0217 



H. COMMUNICATION: 

There was no discussion by the Commission 



I. TRAILING CALENDAR: 

There was no discussion of trailing calendar items. 



K. ADJOURNMENT TO GO INTO CLOSED SESSION: 

There being no further calendared business before the Commission the meet- 
ing adjourned at 9:45 a.m. to go into closed session. 



/ijean Caramatti 
/ Commission Secretary 



Minutes, July 11, 1984, Page 11 



SAN FRANCISCO 
AIRPORTS COMMISSION 




DOCUMENTS DEPT. 

OCT 1 9 1984 

SAN FRAriwiwwO 
PUBLK .\dv 



MINUTES 



AUGUST 7, 1984 



DIANNE FEINSTEIN, MAYOR 

COMMISSIONERS 

MORRIS BERNSTEIN 

President 

WILLIAM K. COBLENTZ 

Vice-President 

RUTH S. KADISH 

DR. Z.L. QOOSBY 

J. EDWARD FLEISHELL 

LOUIS A.TURPIN 
Director of Airports 

San Francisco International Airport 
San Francisco, California 94128 



Index 

of the Minutes 

Airports Commission 

August 7, 1984 



Calendar 


Agenda 




Section 


Item 


Title 


A. 




CALL TO ORDER: 


B. 




ROLL CALL: 


C. 




ADOPTION OF MINUTES 



Resolution 




Number 


Page 




4 




4 


84-0219 


4 


84-0220 




84-0221 





D. 
E. 



ANNOUNCEMENT EY SECRETARY: 
SPECIAL ITEMS: 

1. S.F.I. A. Police Officer of the 

Year Award for 1983 - 
Officer Thomas J. Cunnane 

2. Presentation of Carnegie Hero 

Award to Airport Police 
Officer Robert V. Sheehan 

DIRECTOR'S REPORTS: 

3. Report on the 1-380 Highway 

Construction Program 

4. One Hour Film Developing 

Lease 

ITEMS INITIATED BY COMMISSIONERS: 
POLICY REVIEW: 

5. Review of Policies Adopted by the 

Commission from January through 
December, 1982 

ITEMS RELATING TO ADMINISTRATION, 
OPERATIONS AND MAINTENANCE: 

6. Airport Motor Coach Service Agree- 

ment-Authorization of Contract 
Specifications and Pre- Bid 
Conference 

7. Appeal from Denial of Request 

for Newsrack Space 

8. Five-Year Extension of Lease 

for the Public Lockers 



6 
7-8 



84-0222 



Minutes, August 7, 1984, Page 1 



Calendar Agenda Pesolution 

Section Item Title Number Page 

9. Revised Five-Year Capital 

Projects Plan 84-0223 9 

10. Resolution Approving Alternate 

E-4 and Transfer of Funds for 

Double Glazing the Airside 

Window Wall in Contract 1410EF, 

South Terminal Phase II - 

$97 , 000 84-0224 9 

11. Preventative Maintenance 

Program Agreement 84-0225 10 

12. Award of Airport Contract 

No. 1535R-1 - Peroofing 

of Engineering Building 84-0226 10 

13. Approval of Rental Credit to 

Host International, Inc. 84-0227 10 

14. Award of Contract 1433 - 

South Terminal Aircraft 

Apron Paving, Phase II 84-0228 11 

15. Award of Airport Contract 

No. 788 Extension 
and Redesignation 
of Taxiways A & B 84-0229 11-13 

J. CONSENT CALENDAR OF ROUTINE 

ADMINISTRATIVE MATTERS: 

16. Computerized Ground Transporta- 

tion Information Contract - 

Time Extension 84-0230 13 

17. Statistical Adjustments 1984-85 

Joint Use Billing Under Lease 

and Use Agreement 84-0231 13 

18. Settlement of Claims not 

Exceeding $2,500.00 84-0232 14 

19. Resolution Approving Modifica- 

tion Number 0003 to Contract 

DOT FA76WE-3747 between the 

Airports Commission and the 

FAA for Relocation of the 

Air Traffic Control Tower 84-0233 14 

20. Acceptance of Amendment No. 2 

to Grant Agreement for 

ADAP No. 5 84-0234 14 

21. Resolution Approving the Assign- 

ment of Contracts and Request- 
ing the City Controller to 
Transfer Funds from Contract 
1410C-1 to Contract 1410EF 84-0235 14 



Minutes, August 7, 1984, Page 2 



Calendar 
Section 



Agenda 
Item 



Title 



Resolution 
Number 



Page 



K. 
L. 

M. 
N. 



22. Bid Call - Airport Contract 

No. 1608 - Silt Removal, 
1984 

23. Airport Contract No. 1336 - 

Emergency Airfield Pave- 
ment Repairs - FY 1983-84 
Modification No. 1 (Type 2) 
Extension of Time 

COMMUNICATIONS: 

TRAILING CALENDAR: 

CLOSED SESSION: 

ADJOURNMENT: 



84-0236 



84-0237 



15 

15 

15 

4 

15 



Minutes, August 7, 1984, Page 3 



Minutes 
of the 

Airports Commission Meeting 

August 7, 1984 



A. CALL TO ORDER: 

The regular meeting of the Airports Commission was called to order at 
2:00 P.M. in Room 282, City Hall, San Francisco, Ca. 



B. ROLL CALL: 



Present: Commissioners Morris Bernstein, 

William K. Coblentz, Ruth S. Kadish, 
Z. L. Goosby, J. Edward Fleishell 



M. CLOSED SESSION: 

The meeting adjourned at 2:01 P.M. to go into closed session and 
reconvened at 2:15 P.M. 



C. ADOPTION OF MINUTES: 

Tne minutes of the following meetings were adopted by order of the 
Commission President. 

No. 84-0219 Regular meeting of May 15, 1984, 

No. 84-0220 Special Meetings of June 26, 1984 

No. 84-0221 and July 11, 1984 



Minutes, August 7, 1984, Page 4 



D. ANNOUNCEMENT BY SECRETARY: 



In accordance with the Brown Act, 
Section 54957.1, Jean Caramatti, 
Commission Secretary, announced 
unanimous adoption of settlement of 
litigated claim of Titan Pacific 
Corporation in the amount of 
$1,300,000 at the closed session of 
July 11, 1984. 



E. SPECIAL ITEMS: 

Items 1 and 2 were put over to the September 4, 1984 meeting. 

1. S.F.I. A. Police Office of the Year Award for 1983 - Officer Thomas 
J. Cunnane 

Presentation of Plaque to Police 
Officer Thomas J. Cunnane for being 
chosen San Francisco International 
Airport Police Officer of the Year 
1983. 



2. Presentation of Carnegie Hero Award to Airport Police Officer 
Robert V. Sheehan. 



DIRECTOR'S REPORTS: 

3 . Report on the 1-380 Highway Construction Program 

Report on progress of the 1-380 
Highway Construction Program. 

Mr. Lou Turpen, Airport Director, said the report was self- 
explanatory. He said the contract was awarded to the low bidder 
on July 20. Construction on the Airport Interchange would begin 
in August, taking from 2 to 2-1/2 years to complete. 

Mr. Turpen explained that it will be done very much in the same 
fashion as the Highway 92 Interchange where the existing 
Interchange will be kept operating until new segments open. 

Mr. Turpen said that a Garter Snake report has been included. 



Minutes, August 7, 1984, Page 5 



A. One Hour Film Developing Lease 



Report recommending specifications 
and bidding of a lease of One Hour 
Film Developing Service in the 
International Terminal Building. 



Mr. Turpen said that at Commissioner Kadish's request staff took 
a look at film developing as a potential concession. He said 
that the results of the survey indicated that there seemed to be 
some need for this service at the Airport. 

Mr. Turpen said staff was recommending placing it in the iSbrth 
Connector next to the Barber Shop. 

Commissioner Goosby thought that the figures should be given a 
second look and that there should be a pre-bid conference. 

Mr. Turpen said he will return to the Commission after the 
pre-bid conference with the specs and comments. 

Commissioner Kadish assumed that these were just the proposed 
specifications as there were no cameras listed and the film size 
and number was limited. She said that 35mm film was not listed. 

Commissioner Goosby asked if any other concession sold cameras. 

Mr. Turpen responded that Duty Free sold cameras. 

Commissioner Bernstein thought this type of concession might be 
good for the minority program and in that case he did not feel 
that the Airport should burden someone with a $10,000 minimum 
bid. He suggested that the Airport make the minimum very low but 
preferred that it be eliminated. 

Mr. Turpen said the item would be brought before the Commission 
at the next meeting with the appropriate amendments. 



Mr. Turpen introduced the South Terminal carpet as a verbal 
Director's Report. He felt that the terrazzo in the South 
Terminal lobby is still very serviceable and asked Jason Yuen to 
report back to the Commission. He felt that due to the problems 
with the carpet in the Central Terminal the terrazzo in the South 
Terminal should be kept. He also said that this did not mean 
that the boarding areas would not be carpeted. 

Commissioner Kadish asked if this had been discussed with Howard • 
Friedman. 

Mr. Jason Yuen, Administrator, Bureau of Planning and Con- 
struction, responded that Mr. Friedman is doing a study and will 
report back to the Commission next week. 

Commissioner Fleishell said that he hoped different ashtrays will 
be used in the South Terminal than were used in the Central Ter- 
minal. He said that 30 percent of the tops are missing. He asked 
if anything has been done to replace them. 



Minutes, August 7, 1984, Page 6 



Mr. Yuen responded that Dennis Bouey, Deputy Director for 
Facilities, Operations and Maintenance, was purchasing 
replacements. He said that the ashtrays would have to be 
redesigned. 

Commissioner Kadish suggested that ashtrays be installed in the 
counters of the airline ticketing areas. She had made the same 
suggestion for the International Terminal and it worked out very 
well. 



G. ITEMS INITIATED BY COMMISSIONERS: 

Commissioner Goosby, referring to a confidential communication on 
limousines, concurred with what staff was recommending in order to 
comply with the MBE/WBE ordinance. He commended staff on their 
efforts to conform to the regulations. 

Commissioner Goosby noted that page 4 of the specifications calls for 
30 percent women participation and asked for an explanation. 

Mr. Peter Nardoza, Assistant Deputy Director for Business and Finance, 
said that there are three sets of figures in the ordinance and in the 
Pules and Regulations. He explained that the department, on a 
department-wide basis, has a goal of 30 percent MBE participation and 
10 percent WBE participation. On a department-wide basis there is a 
set-aside requirement of 10 percent MBE and 2 percent WBE. There is 
also a 5 percent preference for an MBE or WBE and a 5 percent pref- 
erence for a local business. 

Commissioner Goosby assumed that the 30 percent WBE listed in the 
specifications was in error and requested that it be corrected. 

Commissioner Bernstein asked for a further explanation of what the 30 
percent would include, and specifically asked if the garage would be 
included . 

Mr. Nardoza responded that the Human Rights Commission, in their Rules 
and Regulations, are considering all contracts and all concessions and 
the revenues from the garage would be used in the computation of the 
success rate. 

Mr. Nardoza explained that there can only be a maximum of a 10 percent 
preference. He said that a bidder would only receive a 5 percent pre- 
ference for being a minority and a woman. A bidder would get 10 
percent for being a minority or woman and local. 

Commissioner Bernstein asked where the Rules and Regulations came from. 

Mr. Nardoza responded that they came from an ordinance passed by the 
Board of Supervisors. 

Commissioner Goosby explained that each department examines the total 
expenditures for the year to determine if the 30 percent goal has been 
met, keeping in mind that the goal does not have to come from each 
contractor . 

Commissioner Bernstein asked for a copy of the ordinance. 



Minutes, August 7, 1984, Page 7 



Commissioner Fleishell asked if this violates the settlement agreement 
with the airlines indicating that you are charging 10 percent more or 
earning 10 percent less. 

Mr. Garibaldi responded that the issue has been raised with the people 
working on this and he was checking it out as well. He said that the 
final regulations have not yet been adopted. 

Commissioner Goosby said that the settlement agreement with the air- 
lines contains a provision that they will subscribe to rules and 
regulations and the laws of the City and County of San Francisco. 

Mr. Garibaldi said that the airlines reserve the right to challenge. 

Mr. Turpen said that there has been much interpretive confusion and 
Mr. Nardoza's report is based on the latest information that the 
Airport has and been a party to. 

Mr. Turpen said he would send the Commission the latest draft. 



H. POLICY REVIEW: 



Review of Policies Adopted by the Commission from January through 
December, 1982. 

Mr. Turpen called the Commission's attention to resolution 
No. 82-0094 adopted on May 4, 1982, the Small Business Enterprise 
policy, which will be amended contingent on the outcome of draft 
five and the development of rules regarding the Human Rights 
Commission legislation. The existing one will remain until such 
time as a new City policy is put together. 



I. ITEMS RELATING TO ADMINISTRATION, OPERATIONS AND MAINTENANCE: 

The following item was removed from the calendar prior to the meeting. 

6. Airport Motor Coach Service Agreement - Authorization of Contract 
Specifications and Pre-Bid Conference. 

Resolution approving contract 
specifications for operation of an 
Airport Motor Coach Service 
Agreement and authorizing staff to' 
hold a pre-bid conference for same. 



Minutes, August 7, 1984, Page 8 



The following item was put over to the next meeting without discussion 
and at the written request of Stephen King of the San Francisco/ 
Peninsula Real Estate Forum. 

7. Appeal from Denial of Request for Newsrack Space. 

Appeal from denial by Director of 
Airports of a request to install 
Modular Box Racks throughout San 
Francisco International Airport at 
various designated newsrack sites 
for the purpose of distributing 
San Francisco/Peninsula Real 
Estate Forum. 



The following item was unanimously adopted as amended. 

8. Five-Year Extension of the Lease for the Public Lockers 

No. 84-0222 Resolution approving five-year 

extension of the Public Locker 
Lease to American Locker Company, 
Inc. pursuant to revised rental 
and improvement programs. 

Commissioner Kadish said that the words "and surrounds and trim" 
should be added to the sentence "American Locker will repaint all 
lockers..." She also suggested that the 30-month period be 
shortened and called attention to the condition of the lockers in 
the Central Terminal after only 12 months. 

Mr. Turpen said the suggested language will be inserted and the 
length of time changed to 12 months or as the need arises. 

Commissioner Kadish hoped that the unsightly looking areas will 
be fixed as soon as possible. 



The following items were unanimously adopted. 

9. Revised Five-Year Capital Projects Plan 

No. 84-0223 Resolution approving the Airport's 

revised Five-Year Capital Projects 
Plan (dated July 18, 1984). 



10. Resolution Approving Alternate E-4 and Transfer of Funds for 

Double Glazing the Airside Window Wall in Contract 1410EF, South 
Terminal Phase II - $97,000 

No. 84-0224 The original bid for Contract 

1410EF included a $97,000 bid item 
for Alternate E-4, Double Glazing 
the Airside Window Wall. This 
work is needed to maintain the 
interior aesthetic standards 
established by the architect. 
This work will be funded from the 
surplus between the awarded amount 
and bid budget. 



Minutes, August 7, 1984, Page 9 



11. Preventative Maintenance Program Agreement 

No. 84-0225 Resolution authorizing Director to 

ratify Preventative Maintenance 
Program Agreement between the 
Airports Commission and "Crothall 
Systems West." 

Mr. Turpen explained that this was as a result of the Com- 
mission's prior directive to purchase software. 

Commissioner Kadish asked how long it would be before the Airport 
had a program in use by Airport staff. 

Mr. Dennis Bouey, Deputy Director for Facilities, Operations and 
Maintenance, said the current contract expires in March, 1985. 
The in-house program voted on at the last meeting and before the 
Commission again today will be in place by that time and 
working. The dry-run is expected to take place in November. 

Mr. Turpen said the Crothall System went into operation three or 
four years ago and the Airport has been operating under the 
Crothall preventive maintenance system and scheduling system 
since that time. This allows the Airport to take over and 
utilize some of their equipment. 

Mr. Bouey said that the $40,000 payment does two things: it pays 
for the start-up costs (the translation of the software in its 
current language to the computers that are used at the Airport) 
and, it pays for the royalty fee for three years. He said that 
unless there is some potential expansion that is not seen now, 
staff will not have to come back to the Commission on this for 
three years. 

Commissioner Goosby assumed that within those three years the 
Airport could develop its own software package. 

Mr. Bouey said that could be done at any time, however, at the 
last meeting staff presented four or five different options to be 
reviewed and, in comparison to a program that is running and is 
effective, that option was rejected as not being cost effective. 



12. Award of Airport Contract No. 1535R-1 
Reroofing of Engineering Building 

No. 84-0226 Resolution awarding Contract No. 

1535R-1, Reroofing of Engineering 
Building, to the low bidder, THE 
BRYANT ORGANIZATION, INC., 3229 
San Leandro Street, P.O. Box 
24081, Oakland, CA 94623, in the 
amount of $107,908.00. 



13. Approval of Rental Credit to Host International, Inc. 

No. 84-0227 Resolution approving Rental Credit 

to Host International, Inc. in an 
amount not to exceed Two Thousand 
Dollars ($2,000.00) 



Minutes, August 7, 1984, Page 10 



14. Award of Contract No. 1433 

South Terminal Aircraft Apron Paving, Phase II 

No. 84-0228 Award of Contract 1433: South 

Terminal Aircraft Apron Paving, 
Phase II to Ghilotti Brothers, San 
Rafael, CA in the total amount of 
$3,534,845.00. Construction 
budget for this work is 
$4,700,000.00. 



The following item was adopted by a 3-2 vote with Commissioners Kadish 
and Goosby casting the dissenting votes. 



15. Award of Airport Contract No. 788 

Extension and Redesignation of Taxiways A & B 

No. 84-0229 Resolution awarding Contract 

No. 788, Extension and 
Redesignation of Taxiways "A" and 
"B" to McGuire & Hester, 796 - 
66th Avenue, Oakland, CA 94621. 

Commissioner Bernstein asked Mr. Michael Fitch, attorney for 
Kasler Corporation, if he wished to address the Commission. 

Mr. Fitch, attorney for the second lowest bidder on this 
contract, introduced Mr. Taylor, a project superintendent 
currently performing work at the Airport. 

Mr. Fitch said a bid protest was filed against the award of the 
contract to the apparent low bidder, McGuire & Hester. Mr. Fitch 
contended that there were a number of material deficiencies in 
MoGuire-Hester ' s bid which would render the bid non -responsive. 

Mr. Fitch said his purpose was not to castigate McGui re-Hester or 
accuse them of any wrong-doing but to get a reading from the 
Commission as to what it will and will not allow in the future. 

Mr. Fitch went through the McGuire-Hester bid and enumerated the 
deficiencies. He said that the bid price was to be listed in 
words and figures but McGuire-Hester' s bid was listed only in 
figures, offering them a distinct advantage. 

Commissioner Goosby asked if there was a legal reason for listing 
the bid amount in that manner. 

Mr. Garibaldi responded that it is a requirement of the City's 
Administrative Code. He said that his office advised staff that 
failure to include the words is a technical defect which the 
Commission has the discretion to waive. He said that the 
competitive bidding process was for the benefit of the City and 
not the bidders. 

Mr. Fitch said that the contractors are required to list the size 
and capacity of all equipment to be used on the project. He said 
that unless the Airport has knowledge of the type of equipment a 
contractor has, an evaluation of whether or not he can perform 
the project cannot be made. He felt that the information offered 
by McGuire-Hester was inadequate. 



Minutes, August 7, 1984, Page 11 



Commissioner Bernstein felt that a technical error on the part of 
a bidder should not result in a loss of $120,000 to the Airport. 

Mr. Fitch said that the awarding of contracts in public works is 
within the almost unlimited discretion of the Commission with the 
one limitation that the Commission cannot act arbitrarily or 
capriciously. He said that they are trying to determine if, in 
the future, the Commission will be arbitrary and capricious. If, 
the next time a project goes out to bid, a contractor submits a 
sloppy bid then the Commission opens itself up to a charge of 
obusive discretion. 

Commissioner Goosby said that he understood the point that Mr. 
Fitch was making. The rules are to be followed and, if they are 
not, where is the line drawn. He felt that the omission of a 
description of the equipment was more than a technical defect. 

Mr. Fitch made the point that a bond tells whether or not a 
contractor is qualified, whether or not the contract will be 
complete and whether or not the contract will be performed in an 
adequate manner. The same is true in this instance. The 
Commission must have a basis for evaluating a contractor's 
equipment and his ability to perform that contract. 

Mr. Garibaldi commented that legally it is viewed as a technical 
defect which the Commission has the descretion to waive. 

Mr. Fitch called the Commission 's attention to page 9 of the 
McGuire-Hester bid and said that they failed to comply with the 
instructions and Section 4104 of the Government Code in not 
listing the portion of the work for which the subcontractor will 
be responsible and the cost at which the subcontractor will 
perform the work. He said that by leaving out the costs you are 
facilitating bid chiseling and bid shopping. The subcontractor 
listing law was specifically put into the Government Code to 
prevent bid shopping and to lessen the opportunity for bid 
chiseling. 

Commissioner Kadish asked Mr. Garibaldi on what basis this was 
judged to be a technical defect. 

Mr. Garibaldi responded that it was based on staff's analysis and 
past interpretations on provisions similar to this which the 
Commission has waived as technical defects. 

Mr. Bouey said that when this issue came up the City Attorney's 
Office was asked to review the matter. After careful review it 
was determined that they were technical defects. He said that 
these specific issues have happened in the City before and the 
Commissions involved has awarded to the lowest bidder. The 
Commission recently awarded the Williams-Burrows contract under 
the same circumstances. Mr. Bouey further informed the 
Commission that the City Attorney recently determined that the 
burden of proof in not awarding to the lowest responsible bidder 
is so substantial that there must be a clear cut cause to prove 
that he materially was favored in order to be awarded that 
contract . 

Mr. Bouey said that his staff and the City Attorney feels that 
McGuire and Hester had no material advantage. He said that he 
agreed with Kassler Corporation and wished that all the blanks 
had been filled out but failure to do so is viewed as a technical 
defect. 

Commissioner Kadish asked what control the Airport has over a 
contractor who wants to substitute one subcontractor for another 
after the job has been started. 



Minutes, August 7, 1984, Page 12 



Mr. Bouey responded that the request will be reviewed as well as 
the circumstance for request of change. It would first be 
related back to the bid amount for that particular item. 

Mr. Garibaldi interjected that substitutions must also be 
approved by the Commission and there are specific grounds in the 
Code for which a substitution can be granted. 

Commissioner Fleishell said he was satisfied with staff's 
recommendation . 

Commissioner Goosby felt that all requirements should be met and 
this should not be a precedent encouraged by the Commission. 

Commissioner Fleishell asked why better instructions couldn't be 
provided warning bidders that blanks must be filled in or they 
will lose the bid. 

Mr. Turpen responded that the Commission does not have to waive 
the technical defects but a blanket rule may not be appropriate. 

Commissioner Kadish said that her principle concern was the issue 
of bid shopping. She said that although the last point that Mr. 
Bouey made clarified the issue that it must be brought back to 
the Commission for approval, by that time the Commission would 
have forgotten many of the facts. She hoped that a process could 
be developed which would express the Commission's disfavor. 



J. CONSENT CALENEftR OF ROUTINE ADMINISTRATIVE MATTERS: 

The following items were unanimously adopted. 

16. Computerized Ground Transportation Information Contract - Time 
Extension 

No. 84-0230 Resolution authorizing an 

extension of time for the contract 
between the City and Forum 
Communications, Inc., to develop, 
install and maintain the 
Computerized Ground Transportation 
Information System. The modifi- 
cation to the contract would be 
made at no additional cost to the 
City. 



17. Statistical Adjustments 1984-85 Joint Use Billing Under New Lease 
and Use Agreement 

No. 84-0231 Resolution adjusting 1984-85 joint 

use billing pursuant to Section 
101 .W of the Airline-Airport Lease 
and Use Agreement for America West 
Airlines. 



Minutes, August 7, 1984, Page 13 



18. Settlement of Claims not Exceeding $2,500.00 

No. 84-0232 Resolution approving the action of 

the Director of the Airports, with 
the approval of the City Attorney, 
in the settlement and compromise 
of claims not exceeding 
$2,500.00. Total $26,620.21. 



19. Resolution Approving Modification No. 0003 to Contract DOT 
FA76WE-3747 between the Airports Commission and the EAA for 
Relocation of the Air Traffic Control Tower 

No. 84-0233 Resolution approving Modification 

Number 0003 to Contract DOT 
FA76WE-3747 between the Airports 
Commission and the FAA for 
relocation of the Air Traffic 
Control Tower. Present contract 
calls for lump sum payment of 
$2,100,000 to the Airport upon 
completion of all work. This 
modification revises the payment 
schedule to 1) require payment of 
$1,900,000 by the FAA upon 
occupancy of the new Control Tower 
and 2) release of remaining 
$200,000 upon completion of the 
7th floor renovation. 



20. Acceptance of Amendment No. 2 to Grant Agreement for ADAP No. 5. 

No. 84-0234 Resolution accepting Amendment No. 

2 to ADAP Project No. 8-06-0221-05 
Grant Agreement and authorizing 
the Director to accept and execute 
said amendment. 

This amendment amends the grant 
amount from $829,302.00 to 
$878,699.73 to cover inflationary 
cost increases. 



21. Resolution Approving the Assignment of Contracts and Requesting 
the City Controller to Transfer Funds from Contract 1410C-1 to 
Contract 1410EF 

No. 84-0235 Work under Contract 1410C-1 (Steel 

Panels Tunnels A & C) will be com- 
bined with Contract 1410EF (South 
Terminal Renovation Phase II) as 
provided by the contracts. Funds 
need to be combined accordingly. 
No change in total contract amount 
nor budget. 



Minutes, August 7, 1984, Page 14 



22. Bid Call: Airport Contract No. 1608 
Silt Removal, 1984 



No. 84-0236 



Resolution approving the final 
plans and specifications and 
authorizing the Director to call 
for bids for Airport Contract No. 
1608, Silt Removal, 1984. 



23. Airport Contract No. 1336 

Emergency Airfield Pavement Repairs - FY 1983-84 
Modification No. 1 (Type 2) Extension of Time 



No. 84-0237 



Resolution approving a modifica- 
tion of contract extending the 
completion date from September 24, 
1984 to March 31, 1985 at no 
additional cost to the City. 



K. COMMUNICATIONS: 

There was no discussion by the Commission. 



* * * 



L. TRAILING CALENDAR: 

There was no discussion of trailing calendar items. 



N. ADJOURNMENT TO GO INTO CLOSED SESSION: 

There being no further calendared business before the Commission the 
meeting adjourned at 3:05 P.M. to go into closed session. 



/I 



Jean Caramatti 



fcr\ 



Jean 

(Commission Secretary 

V 



Minutes, August 7, 1984, Page 15 



SAN FRANCISCO 
AIRPORTS COMMISSION 




DOCUMENTS DEPT. 

™ 2 1 1985 

SAN FRANCISCO 

PUBijr ■ iRPipv 



MINUTES 



AUGUST 21, 1984 



DIANNE FEINSTEIN, MAYOR 

COMMISSIONERS 

MORRIS BERNSTEIN 

President 

WILLIAM K. COBLENTZ 

Vice-President 

DR. Z.L. GOOSBY 

J. EDWARD FLEISHELL 

ATHENA TSOUGARAKIS 



LOUIS A.TURPEN 

Director of Airports 



r, 



San Francisco International Airport 
San Francisco, California 94128 



Index 

of the Minutes 

Airports Commission 

August 21, 1984 



Agenda 
Item 



Title 



Resolution 
Number 



Page 



A. 
B. 
C. 

D. 
E. 



F. 
G. 



H. 



GALL TO ORDER 3 

ROLL CALL 3 

ADOPTION OF MINUTES 84-0239 3 

ANNOUNCEMENT BY SECRETARY 3 
DIRECTOR'S REPORTS 

1. Self-Service Luggage Cart 4 

2. Automobile Service Station 4-5 

3. Progress on Contract 1013: 
Computerized Parking 

Control System 5, 8-9 

4. Monitoring Trial Basis 

Activity 6 

ITEMS INITIATED BY COMMISSIONERS 6 

POLICY 

5. Appeal from Denial of Request 

for Newsrack Space 84-0240 6-8 

ITEMS RELATING TO ADMINISTRATION, 
OPERATIONS AND miNTENANCE 

6. Modification to Professional 
Services Contract - 

Cerand & Company 84-0241 8-9 

7. One Hour Film Developing 
Lease/Bid - Specifications 

and Pre-bid Conference 84-0242 9-10 

8. Approval of Subleases and 
Subtenants - North Terminal 
Hub- Principal Concession 

Lease Agreement 84-0243 10-11 



Minutes, August 21, 1984, Page 1 



Calendar Agenda Resolution 

Section Item Title Number Page 

I . CONSENT CALENDAR OF ROUTINE 

ADMINISTRATIVE MATTERS 

9. Award of Contract No. 919C 
Reconstruction of Airfield 
Perimeter Dike - Runway 19L 84-0244 11 

10. Award of Contract No. 1299 

Removable Bridge at Garage 84-0245 12-15 

11. Modification No. 21 and 
Final Completion of 
Contract No. 1015 
Garage, Stage V, Final 

Modification 84-0246 15 

12. Transfer of $170,100 from 
South Terminal Art Enrich- 
ment Funds to Art 

Commission 84-0247 15 

J. COMMUNICATIGNS 16 

K. TRAILING CALENDAR 16 

L. ADJOURNMENT 16 



Minutes, August 21, 1984, Page 2 



Minutes 

of the 

Airports Commission Meeting 

August 21, 1984 



A. CALL TO ORDER: 

The regular meeting of the Airports Commission was called to order at 
2:00 P.M., in Room 282, City Hall, San Francisco, Ca. 



B. ROLL CALL: 

Present : 



Commissioners Morris Bernstein, 
William K. Coblentz, Ruth S. Kadish, 

Commissioner Z. L. Goosby arrived at 
2.05 P.M. 



Absent 



J. Edward Fleishell 



C. ADOPTION OF MINUTES: 
No. 84-0239 



The minutes of the regular meeting of 
May 1, 1984 were adopted by order of 
the Commission President. 



ANNOUNCEMENT BY SECRETARY: 



In accordance with the Brown Act, Sec- 
tion 54957.1, Jean Caramatti, 
Commission Secretary, announced the 
unanimous adoption of Resolution No. 
84-0238 regarding the settlement of a 
litigated claim at the Closed Session 
of August 7, 1984. 



Minutes, August 21, 1984, Page 3 



E. DIRECTOR'S REPORTS: 

1. Self-Service Luggage Cart 

Report recommending proposed spec- 
ifications for the Lease of a 
Self-Service Luggage Cart Operation at 
the Airport. 

Mr. Lou Turpen, Airport Director, said that this item relates to the 
concept advocated by the Commission of providing free carts to 
arriving international passengers. Staff has prepared a self-service 
luggage cart specification which basically would parallel the 
existing system. He said that carts would be free of charge to 
arriving international passengers and would not be confined to the 
Customs area. 

Mr. Turpen said that this was the suggested outline for the spec- 
ifications and a pre-bid conference. If the Commission has no sug- 
gestions or amendments to the outlined specifications staff will 
return on September 4 with a request for authorization to hold a pre- 
bid conference and to bid the cart operation. 

Commissioner Coblentz said it was his understanding that there will 
be 800 pay carts and 400 free carts. The 400 free carts can be taken 
anywhere on the Airport and a quarter will be refunded if returned. 
He wondered if it would be worthwhile for a bidder to supply 1200 
carts, 400 of which would be free? He said he would not submit a bid. 

Mr. Turpen responded that initially there would be a J>1. 00 fee for 
carts outside the Customs area. He said that it could be a negative 
bid and he hopes to have the private sector provide this system which 
he feels is best for the Airport. 

Commissioner Kadish noted that Section 7, as referred to in the 
statement included in the specifications: "...all such island types 
shall be self-contained, .. .and be of such an aesthetic design as is 
first approved by City per Section 7 herein" was missing. She 
assumed it meant that it would go through the Airport ' s regular 
design review procedure and asked that the wording be clarified. 

Mr. Turpen commented that the existing operator feels that if an 
incentive is offered to return the cart the labor costs will drop 
dramatically. 

Mr. Turpen said the item would be brought back before the Commission 
on September 4 for approval. 



2. Automobile Service Station 

Report resubmits the approved 
Automobile Service Station lease spec- 
ifications for Commission review. 

Mr. Turpen said the specifications that have been outlined are to be 
presented at the pre-bid conference. He said that if there are no 
amendments staff will proceed with the pre-bid conference as prev- 
iously authorized by the Commission. 

Mr. Turpen explained that the minimum bid was formerly 24 percent of 
gross receipts but is now 3 percent of gross receipts. 



Minutes, August 21, 1984, Page 4 



Commissioner Bernstein said "he would vote against this as he felt 
someone with greater experience was needed. He thought that a real 
estate firm or specialists in leasing should handle this. 

Commissioner Goosby joined the meeting at this point. 

Commissioner Bernstein said that he could not vote for a reduction in 
rent regardless of the cause. 

Commissioner Kadish expressed concern over the service stations con- 
tacted causing her to wonder about the calibre of the people 
approached to bid. 

Mr. Turpen commented that the circumstances that existed in 1968 when 
this was last bid have changed dramatically and explained that the 
cost of gasoline in 1968 as opposed to the cost today may have been a 
factor in the bid. He said that contact with the major oil companies 
has indicated that circumstances have changed to the degree that a 24 
percent of gross rental is not consistent with the industry today. 
If the Commission desires he will take a look at the possibility of 
allowing a third party to develop lease specifications and assist the 
Airport in bidding it. 

Commissioner Goblentz stated that a brokerage firm could give the 
Airport some idea of what is currently happening in the market. 

Mr. Turpen said staff will approach the major leasing companies. 

Commissioner Bernstein did not feel that staff was equipped to handle 
this. He did not feel that the location was for the average gas sta- 
tion operator. 

Mr. Turpen, as a point of clarification, told the Commission that the 
bid specifications intentionally do not authorize heavy-duty mainten- 
ance at the service station. This was to avoid establishing a major 
repair facility on a roadway. 

The Commissioners agreed that this was consistent with their thinking. 



The following item was put over until Item 6 was reached and was then dis- 
cussed in conjunction with that item. 

3. Progress on Contract 1013: 

Computerized Parking Control System 

Report on progress to date of Com- • 
puterized Parking Control System con- 
tract awarded to Autoscan Systems, 
Inc. (Relates to calendar item No. 6) 



Minutes, August 21, 1984, Page 5 



4. Monitoring Trial Basis Activity 

Report outlining the criteria for mon- 
itoring trial basis activity. 

Mr. Turpen said that Teleguide was to be the first effort in estab- 
lishing a generic procedure. This is the suggested concept with the 
generic description of how to approach the evaluation and the spec- 
ifics with regard to the evaluation. 



ITEMS INITIATED BY COMMISSIONERS : 

Commissioner Kadish suggested that it would be helpful to provide services 
at the Airport such as duplicating machines. She also thought that secre- 
tarial services could be augmented. 

Commissioner Goosby felt that a need should be established. He wasn't 
sure that such services were necessary. 

Commissioner Kadish asked that it be placed on the trailing calendar for 
the first meeting in October. 



G. POLICY: 

The following item was unanimously adopted. 

5. Appeal from Denial of Request for Newsrack Space. 

No. 84-0240 Appeal from denial by Director of Air- 

ports of a request to install Modular 
Box Racks throughout San Francisco 
International Airport at various des- 
ignated newsrack sites for the purpose 
of distributing San Francisco/Penin- 
sula Real Estate FORUM . 

Commissioner Bernstein called on Mr. King to address the Commission. 

Mr. Stephen V. King, Circulation Manager, San Francisco/Peninsula 
Real Estate FORUM distributed information to the Commissioners. Csee 
attached. ) 

He said that on April 30 he submitted a letter to Mr. Lanzilla 
requesting space in the Airport, and subsequently received a letter 
dated June 20, 1984 denying the request. The reason for denial was 
that the publication, the San Francisco/Peninsula Real Estate FORUM , 
is not a newspaper and therefore not eligible for distribution 
through a newsrack. 



Minutes, August 21, 1984, Page 6 



Mr. King distributed copies of the magazine to the Commission and 
said that he felt that they do disseminate news in the form of this 
advertising medium in the fact that over 100 of the largest real 
estate offices in San Francisco and the Peninsula, as far South as 
Redwood City, do receive the magazine on a contractual basis. He 
asked the Commission to reconsider its position. 



Commissioner Coblentz said he was familiar with the publication and 
would vote to sustain staffs' decision. He said that there is a 
severe limitation of space and curb space is important for adequate 
ingress and egress of passengers and too valuable to sell newspapers. 



Commissioner Bernstein agreed with Commissioner Coblentz and said he 
too would be ready to sustain staff. 



Commissioner Kadish felt very strongly that the line stops here as 
has been enunciated and would not go for increasing or having any 
further publications in this area. 



Mr. Turpen recommended rejection of the appeal and adoption of the 
resolution supporting his recommendation. 



Mr. King said that he understood that there is a possibility that 
other publications would approach the Commission in the future but 
his concerns were of their constitutional right to distribute the 
magazine in public areas such as the Airport. He said he understood 
there are some very strict guidelines and they are willing to coop- 
erate. 



Commissioner Bernstein asked if his magazine/pamphlet was in a dif- 
ferent class than a Macy's or Emporium brochure or Consumer's Digest? 



Mr. King responded that he would not want to separate his publication 
from any other publication. That's all part of the ability of the 
First Amendment to allow freedom of the press and speech. 



Commissioner Bernstein said that if Mr. King could find a publication 
at the Airport he felt was in his class he could try again. 



Commissioner Coblentz responded that he did not want to limit it to 
class. He said that the sole ground for denial is safety. He did 
not want to have any more papers there to impede the safety of the 
pedestrians. He felt that passenger safety took precedence over free 
speech. 

Mr. King responded that just before this matter was called up he 
heard Commissioner Kadish request that staff look into the pos- 
sibility of installing copy machines for public use. 



Commissioner Kadish responded that copy machines would be in certain 
very small areas and those locations would be apart from newspaper 
vending machines. Newspaper vending machines, for the most part, are 
outside of the terminals. 



Minutes, August 21, 1984, Page 7 



Mr. King said that there are pedestal racks now in the process of 
being installed inside the Gentral Terminal. 

Mr. Turpen responded that they will be in the alcoves. 

Mr. King said that is what he would like. 

The roll was called. 



ITEMS RELATING TO ADMINISTRATION, OPERATIONS AND MAINTENANCE: 

Item 3, a Director's Report, was discussed in conjunction with Item 6, 
which was unanimously adopted. 

3. Progress on Contract 1013: 

Computerized Parking Control System 

Report on progress to date of Com- 
puterized Parking Control System con- 
tract awarded to Autoscan Systems, 
Inc. (Relates to calendar item no. 6) 



6. Modification to Professional Services Contract - Cerand and Company 

No. 84-0241 Resolution to extend to December 31, 

1985 the professional services con- 
tract between the City and Cerand & 
Company, and to authorize additional 
funds totalling $31,650 to be allo- 
cated for additional work to be per- 
formed under said contract. 

Mr. Turpen said this was a question of Cerand' s extension as well as 
the Autoscan situation. He asked Sheldon Fein, Landside Operations, 
to brief the Commission. 



Mr. Fein said that there have been problems with Autoscan, the con- 
tractor for the parking control system, from the inception of the 
contract through June. At that time notices were sent to them and 
their bonding company. After several meetings staff was flown in 
from the main office overseas and the existing staff working on the 
project was let go. Since late June they have given the Airport a 
commitment that they would conform with the contract. They have pro- 
vided schedules that list approximately 90 major items and deadlines 
along with actual weekly time periods. During the past month they 
have basically been meeting their deadlines. Mr. Fein said that up 
to this point staff and Cerand have been meeting and reviewing doc- 
uments. 

Mr. Fein hoped that many of the problems to date have been resolved. 
As a result of these problems the new schedule anticipates completion 
of the project in March, 1985, three months after the original con- 
tract completion date of mid December. 



Minutes, August 21, 1984, Page 8 



Commissioner Bernstein said that if the additional funds were neces- 
sary because of the delays with Autoscan then shouldn't the Airport 
proceed against them? 

Mr. Woods responded that the Airport ' s only remedy against Autoscan 
is liquidated damages. He explained that the Government Code prov- 
ides that public entities, such as the City, may assess liquidated 
damages in their construction contracts and they are not bound by the 
requirements of the Civil Code which require that they be negotiated. 
Thereafter, the City may not throw out the liquidated damages rem- 
edy and sue Autoscan for tardy performance, for extra cost of consul- 
tation, engineering fees, etc. Liquidated damages entitles the 
Airport to $750 for each calendar day over the designated completion 
date that the project remains unfinished. 

Mr. Woods further explained that in this case since the scheduled 
completion date will be exceeded by two to three months the liqui- 
dated damages will run about $70,000 to $80,000. The modification to 
the Cerand contract is around $30, 000 to $35, 000 so the liquidated 
damages will more than compensate for the extra cost. 

Commissioner Kadish said that there have always been extenuating cir- 
cumstances which balanced out against the Airport collecting those 
damages. She did not want history to repeat itself and asked that 
steps be taken to guard against it. 

Mr. Woods responded that Steve Gregory, the Project Manager, has gone 
through elaborate detail in establishing through correspondence the 
lack of timely performance and inefficiency by Autoscan. He also 
explained that there was no guarantee that the presiding judge would 
not push for liquidated damages. 

Commissioner Goosby hoped Mr. Fein would be blunt about the problems 
with Autoscan if approached by other airports. 

Mr. Fein responded that several airports have had similar problems 
and staff is in constant touch with them. 



The following items were unanimously adopted. 

7. One Hour Film Developing Lease/Bid Specifications and Pre-Bid 
Conference. 

No. 84-0242 Resolution approving the specifi- 

cations and terms for the lease of 
One-Hour Film Developing Service/ 
Operation and authorizing staff to 
hold a pre-bid conference for same. 

Mr. Turpen said this is a return of a previous item. The minimum 
acceptable bid has been removed and the question of film and added 
camera sales has been clarified. 

Mr. Turpen brought to the Commission' s attention the 10 percent of 
gross rent. The Commission wanted to eliminate the minimum accept- 
able bid but since he could not recall if there was any comment on 
the percentage gross or not, he left it at 10 percent. 



Minutes, August 21, 1984, Page 9 



Commissioner Goosby asked how it would be bid. 

Mr. Turpen responded that there will be a percentage rent (10 percent 
of gross) against the minimum that is bid. 

Commissioner Bernstein said that during a previous discussion he sug- 
gested that this might be a good opportunity for a minority or small 
business. He was not sure that 10 percent of gross should be used 
and felt that some of the usual requirements should be waived, such 
as the £5,000 bond. 

Mr. Turpen said staff can take another look at it. 

Commissioner Kadish asked if an attempt had been made to assess what 
type of response there would be. 

Mr. Turpen responded that staff could proceed with the pre-bid to 
solicit comments. 

Commissioner Kadish said that if there is insufficient minority/small 
business response then staff should re-do the bid. 

Commissioner Goosby suggested that it could be tested by putting it 
out on a permit basis. 

Mr. Turpen said that since he is unsure of the capital investment 
required and a permit is only good for a six-month trial he was not 
sure it would be worth the investment. 

Mr. Turpen again asked that staff be allowed to hold a pre-bid con- 
ference and solicit comments. He said he would also take a look at 
the City's minimum requirements for bidding. 

The Commission did not oppose the recommendation. 



8. Approval of Subleases and Subtenants - North Terminal Hub Principal 
Concession Lease Agreement. 

No. 84-0243 Resolution approving affirmative 

action sublease and subtenants of Duty 
Free Shoppers, as North Terminal Hub 
Principal Concessionaire. 

Mr. Turpen called the Commission' s attention to page 11 of the second 
lease regarding the sale of chewing gum. 

Commissioner Coblentz suggested that chewing gum be omitted from the 
bid and not be sold in the South Terminal. 

Mr. Turpen suggested coming before the Commission on September 4 with 
a policy that would guide the Airport's leasing decisions as the 
North Terminal concessions come up for re-bid and as the South Term- 
inal comes up. 

Mr. Turpen said that the North Terminal connector and other carpeted 
areas of the Airport receive substantial abuse from gum. 

Commissioner Goosby said concessionaires should be told the reason 
chewing gum is not allowed in newsstands. He received a call from a 
concessionaire who was told he could not sell gum but was not told 
why. 



Minutes, August 21, 1984, Page 10 



Mr. Turpen said letters were sent. 

Commissioner Goosby said that the concessionaire made a considerable 
amount of money on gum sales. 

Mr. Turpen said he would bring this back as a policy at the September 
4 meeting and the public will have an opportunity to comment. 

Mr. Turpen also pointed out that the minority participants in the 
program will be owner-operators of the shops, as in the Central 
Terminal. 

Commissioner Kadish asked how this is monitored. 

Mr. Turpen responded that the minority/small business operator must 
be available a certain percentage of the operating hours. They are 
permitted to reduce those hours, with the Director' s approval, as the 
concept is to phase them out of the operator role and into a manager 
role. The original intent was to prepare them to hire other people 
and place themselves in a position to bid other concessions at the 
Airport. 

Commissioner Goosby felt that the stipulation requiring their pres- 
ence was unfair, demeaning and unnecessary. 

Mr. Turpen said that when Duty Free consented to furnish the entire 
set-up in the Central Terminal and devote 25 percent of the principal 
concessionaire space to minority opportunity, the thinking was that 
those persons selected by Duty Free would come in, be trained by Duty 
Free, and work in their own business. 

Commissioner Goosby responded that that was not the concept he had in 
mind. He argued that they already had businesses. Some of them are 
very experienced operators who wanted the oportunity to work in the 
Airport. He said staff was assuming that they are inexperienced 
because they are minorities. 

Mr. Turpen said that in those cases the operators can ask that the 
requirement be waived. The problem staff is trying to avoid is get- 
ting a minority operator with no experience. He said that to date 
there has been no complaint or disagreement with the philosophy and 
that it has worked out well. 

Commissioner Goosby said that what staff has been doing is satis- 
factory and he has not received any complaints. 



I. CONSENT CALENDAR OF ROUTINE ADMINISTRATIVE MATTERS: 

The following items were unanimously adopted. 

9. Award of Contract No. 919C 

Reconstruction of Airfield Perimeter Dike - Runway 19L. 

No. 84-0244 Resolution awarding Contract No. 919C 

to Homer J. Olsen, Inc., P.O. Box 993, 
35500 Olsen Way, Union City, CA 94587 
in the amount of £768,500. 

Five bids were received on August 7, 
1984, ranging from £768, 500 to 
$979,696. 



Minutes, August 21, 1984, Page 11 



10. Award of Contract No. 1299 
Removable Bridge at Garage. 

No. 84-0245 Resolution awarding Contract No. 1299 

to Ceco Construction, 690 South 
31st Street, Richmond, CA, in the 
amount of 531,864. 

Six bids were received on July 24, 
1984, ranging from 531,864 to $47,850. 

Mr. Bouey said that he received a call this morning from Stan Smith 
of the Building Construction Trades Council informing him that the 
iron workers were going to protest the award of this contract but 
since it appears that there is no protest at this time, he recom- 
mended the Commission adopt the resolution. 

Mr. Turpen asked Mr. Bouey if he knew the basis of the protest. 

Mr. Bouey responded that this item has come to the Commission twice 
before. He said that one code section of the City's Administrative 
Code states that the City must require proof of participation in a 
recognized apprenticeship program. This is also required in our 
specs. The very next section in the same Code says the Commission 
may reject an award to a company if it does not offer proof of parti- 
cipation. At the same time there is a State Code that says a company 
must apply for participation. 

He said that the City Attorney, in the past, has advised us that he 
thinks that the State Code section is the prevailing one. In this 
case Ceco Company has applied for participation in a recognized 
apprenticeship program. Since the apprenticeship program committee 
has not met yet it has not been decided whether or not they will be 
approved. However, Ceco Company has met the test of the State law in 
applying . 

Mr. Bouey said that this is a relatively small contract. He said 
that the time in which to hear it cannot be extended but he has pre- 
pared a substitute resolution if the Commission wishes to reject all 
bids and staff would be willing to re-bid this at a later date if it 
should be necessary. 

Mr. Walter Vestnys, Apprenticeship Coordinator representing the 
Apprenticeship Program, spoke on behalf of the fair contractor. 

Mr. Vestneys said the Apprenticeship Committee did not receive a 
request for authorization until the 16th of August and his committee, 
which consists of three management members and three labor members, 
is difficult to assemble in a short period of time. 

He said any contractor, unknown to the committee, must be investi- 
gated when permission is requested to train apprentices. The 
investigation includes their safety record and work. Applying for 
this request on the 16th of August does not give the Committee ample 
time for its investigation. Therefore, he is not an acceptable con- 
tractor under the regulations and he asked the Commission to consider 
going to the next bidder. 

Commissioner Goosby asked Mr. Vestneys if the reason for their unac- 
ceptability stemmed from the lateness of the request. 



Minutes, August 21, 1984, Page 12 



Mr. Vestnys responded that it was his understanding that a contractor 
has to have the right to train apprentices before a bid can be 
accepted . 

Commissioner Coblentz responded that the City Attorney opined that 
the State Code says you must apply. He asked the amount of the next 
bidder. 

Mr. Bouey responded that the second lowest bidder, the Dalzell 
Company, is $5500 more than the lowest bidder and is a signatory to 
the apprenticeship program. 

Commissioner Coblentz asked if it was true that they complied as a 
contractor bid but filed on the 16th. 

Mr. Jim Woods, Deputy City Attorney, responded that the records indi- 
cate that the application was filed in the middle of July and there 
has been no action to this point. 

Mr. Bouey added that he has a copy of the contractor' s letter to the 
State dated July 30 requesting permission to join the apprenticeship 
program. 

Mr. Vestnys said he received this information from the State on the 
16th of August. He asked that the Commission respect the integrity 
of the Apprenticeship Program. 

Commissioner Goosby said that he respected the Apprenticeship Program 
and the commitment of management and labor to the program but ques- 
tioned the disqualification of a contractor because he was late in 
submitting his application. He said he would rather bid it again 
than to disqualify someone for that reason. 

Mr. Turpen commented that in the past the Commission has rejected and 
there have been instances when some of the contractors have not come 
back to bid. He felt that it was because of the process involved 
rather than a question of their qualifications. 

Commissioner Coblentz commented that the Airport-Student Career 
Awareness Program was turned down. He agreed with Commissioner 
Goosby and suggested re-bidding it if there were no time constraints. 

Mr. Woods responded that the Commission was not obligated to reject; 
they had the discretion to award. 

Mr. Woods said that as far as the State Labor Code is concerned the 
low bidder has met the requirement by applying. Thereafter, if the 
contractor does not qualify for the program he must pay a penalty of 
$50 a day for every day he works on a public contract while not being 
a party to the Apprenticeship Program. In addition, since the con- 
tractor is in violation of the Labor Code he will be prohibited from 
bidding on any public project in the State of California for one year 
from that date. However, at this point the Commission need only con- 
cern itself with whether or not, in its discretion, it deems it the 
best action to award or reject. 

Commissioner Goosby asked if an Apprenticeship Program could be 
developed and granted under these circumstances. 

Mr. Vestnys responded that he didn't know enough about the company or 
their operation. He would have to investigate. 

Commissioner Coblentz asked how long it takes the committee to act? 



Minutes, August 21, 1984, Page 13 



Mr. Vestnys responded that their scheduled meetings are the last 
Monday of each month and they are off for the summer. Their next 
meeting will be the end of September. He said that in the last two 
days he had attempted to contact the chairman, who is in Sacramento, 
and the secretary, who is at another meeting until Thursday, to get 
some direction from them. He said that he does the footwork but they 
must sign it. 

Mr. Woods said that the Commission has the option to reject all bids 
and re-*>id. Part of the problem is that this Commission cannot defer 
to another entity's time schedule. He suggested that some procedure 
be worked out so that the Commission is not placed in this position 
again. 

Mr. Turpen commented that this situation came up two to three months 
ago. It was not a question of the contractor's qualifications, it 
was simply a question of his gaining the necessary local approvals 
vis-a-vis the State application. In that situation the Commission 
rejected all bids and the contract was re-bid. 

Mr. Bouey, addressing Mr. Woods' comment about a procedure, said that 
it had been discussed at a previous meeting. He said that we are 
caught in this constant Catch-22 situation. For instance, this con- 
tract only has 30 days in which it must be bid. The committee does 
not meet for 60 days. 

Mr. Vestnys said that there are other bids that could be considered. 

Commissioner Bernstein said that he was thoroughly sympathetic to Mr. 
Vestneys' position. He said that the other bids were considered and 
explained that this was the low bid and the Commission cannot reject 
a low bidder unless it is for cause. 

Mr. Bouey explained that this particular bid has to be awarded within 
30 days of the opening of the bid date, which was July 24, or it must 
be rebid. 

Commissioner Goosby said he would go ahead and give it to the low 
bidder. Our attorney has indicated we are at the mercy of a time 
schedule. If the Committee saw the sense of urgency about their 
Apprentice Program they would meet every week in order to get these 
applications approved. He suggested awarding the contract with that 
proviso and that the Committee be told that although the Commission 
is sympathetic to the program they can not allow the time defic- 
iencies of the Apprenticeship Committee to interfere with the 
progress at the Airport. 

Mr. Vestnys asked why the Statement of Awareness and Intention was 
drafted and circulated leading them to believe that no bid would be 
considered unless the contractor had the right to train apprentices 
in any San Francisco work. 

Mr. Woods responded that he has not seen the document. 

Mr. Vestnys said it was drafted and voted on four or five months ago. 

Mr. Woods said that the Administrative Code, Section 6.46 and 6.47 
gives the Commission the discretion to reject a bid if it is deemed 
in the best interest of the City and County of San Francisco if the 
apparent low bidder is not a signatory to a recognized apprenticeship 
program with the State of California Division of Apprenticeship 
Standards. The Commission is not bound to reject the bid. In this 



Minutes, August 21, 1984, Page 14 



instance the Commission is making the determination for: 1) service 
time constraints, and 2) the Commission cannot forfeit its duty to 
timely run the Airport because the Apprenticeship Committee cannot 
meet within sufficient periods to decide whether or not the apparent 
low bidder has qualified for the Apprenticeship Program. He said 
that the Commission is not disregarding Section 6.46 and 6.47 of the 
Administrative Code; they are complying with it in making their 
award. The real problem is a conflict of schedules, and the Commis- 
sion, by taking this action, is by no means slighting the Apprentice- 
ship Committee. 



11. Modification No. 21 and Final Completion of Contract No. 1015 
Garage, Stage V, Final Modifications. 

No. 84-0246 This calendar item covers a resolution 

declaring Airports Contract No. 1015, 
Garage, Stage V - Final Modifications 
as finally complete, approves final 
Modification No. 21 to the contract in 
the total amount of ($900.00) (Credit) 
and authorizes final payment in the 
amount of $124,000.00. 



12. Transfer of $170,100 from South Terminal Art Enrichment Funds to Art 
Commission for: 

No. 84-0247 1. Contract with Richard Mayer to fabri- 

cate maquette for sculpture at West 
Entrance Roadway - $1, 500. 

2. Contract with Larry Kirkland for 

fabrication and installation of hang- 
ing sculpture at entrance to Boarding 
Area B, including lighting and ceiling 
modifications - $168,600. 

Joint Committee approved these con- 
tracts on July 26, 1984. 



Commissioner Bernstein said that the Airport has agreed to buy a piece of 
sculpture for $168,000 and asked if there is a way to determine its value. 

Commissioner Coblentz responded that the value is determined by what other 
entities have paid for comparable pieces. American Telephone and Tele- . 
graph Company has one of comparable size and price by the same artist . 



Commissioner Bernstein asked what was happening with Atari. 

Mr. Nardoza responded that staff is looking at the proposals made by Atari 
but at this point none of the proposals have been accepted. They are 
expected to continue to operate their facilities and pay the monthly 
minimum. 



Minutes, August 21, 1984, Page 15 



J . COMMUNICATIONS : 

There was no discussion by the Commission. 



K. TRAILING CALENDAR: 

There was no discussion of trailing calendar items. 



L. ADJOURNMENT TO GO INTO CLOSED SESSION: 

There being no further calendared business before the Commission the meet- 
ing adjourned at 3:10 P.M. to go into closed session. 




[£UL ML oJm. 



Jean Caramatti 
/ /commission Secretary 



Minutes, August 21, 1984, Page 16 



\N FRANCISCO/PLNINSULA 

Real Estate 
FORUM' 

2 Cleveland St. I San Francisco, CA 94103 
(415) 626-4300 



August 20, 1984 



SAN FRANCISCO NEWSPAPER RACK COMMITTEE 
450 McAllister 
San Francisco, CA 94102 



Mr. Morris Bernstein 

President 

S.F. Airports Commission 



RE: DISCUSSION OF AIRPORTS COMMISSION'S VENDING POLICY AT SAN 

FRANCISCO INTERNATIONAL AIRPORT DURING MEETING OF AUGUST 7, 1984. 



We, the San Francisco Newspaper Rack Committee, support the San 
Francisco/Peninsula Real Estate FORUM in its efforts to gain access 
to San Francisco International Airport for the purpose of distributing 
its publication through newsracks in the terminals. 



Tim A. Molinare 
CHAIRMAN 
Stephen V. King 
SECRETARY 



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^N FRANCISCO/PENINSULA 

(teal Estate 
FORUM 

2 Cleveland St. I San Francisco, CA 94103 
(415) 626-4300 



August 3, 1984 



RE: Airports Commission's vending policy at S.F. International Airport. 

WE, THE UNDERSIGNED, SUPPORT THE SAN FRANCISCO/PENINSULA REAL ESTATE 
FORUM IN ITS EFFORTS TO GAIN ACCESS TO S.F. INTERNATIONAL AIRPORT FOR 
THE PURPOSE OF DISTRIBUTING ITS PUBLICATION THROUGH NEWSRACKS IN THE 
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(415) 626-4300 



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August 3, 1984 



RE: Airports Commission's vending policy at S.F. International Airport. 

WE, THE UNDERSIGNED, SUPPORT THE SAN FRANCISCO/PENINSULA REAL ESTATE 
FORUM IN ITS EFFORTS TO GAIN ACCESS TO S.F. INTERNATIONAL AIRPORT FOR 
THE PURPOSE OF DISTRIBUTING ITS PUBLICATION THROUGH NEWSRACKS IN THE 
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August 3, 1984 



RE: Airports Commission's vending policy at S.F. International Airport. 

WE, THE UNDERSIGNED, SUPPORT THE SAN FRANCISCO/PENINSULA REAL ESTATE 
FORUM IN ITS EFFORTS TO GAIN ACCESS TO S.F. INTERNATIONAL AIRPORT FOR 
THE PURPOSE OF DISTRIBUTING ITS PUBLICATION THROUGH NEWSRACKS IN THE 
TERMINALS. 



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FORUM 

32 Cleveland St. / San Francisco, CA 94103 
(415) 626-4300 



August 3, 1984 



RE: Airports Commission's vending policy at S.F. International Airport. 

WE, THE UNDERSIGNED, SUPPORT THE SAN FRANCISCO/PENINSULA REAL ESTATE 
FORUM IN ITS EFFORTS TO GAIN ACCESS TO S.F. INTERNATIONAL AIRPORT FOR 
THE PURPOSE OF DISTRIBUTING ITS PUBLICATION THROUGH NEWSRACKS IN THE 
TERMINALS. 



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Real Estate 
FORUM 

2 Cleveland St. I San Francisco, CA 94103 
(415) 626-4300 



August 3, 1984 



RE: Airports Commission's vending policy at S.F. International Airport, 



WE, THE UNDERSIGNED, SUPPORT THE SAN FRANCISCO/PENINSULA REAL ESTATE 
FORUM IN ITS EFFORTS TO GAIN ACCESS TO S.F. INTERNATIONAL AIRPORT FOR 
THE PURPOSE OF DISTRIBUTING ITS PUBLICATION THROUGH NEWSRACKS IN THE 
TERMINALS. 




Uh qvJjjluL' 



SAN FRANCISCO 
AIRPORTS COMMISSION 




DOCUMENTS DEPT. 

FEB 2 5 1985 

SAN FRANCISCO 
PIIRI IP I IRRARV 



MINUTES 



« SEPTEMBER 4, 1984 



DIANNE FEINSTEIN, MAYOR 

COMMISSIONERS 

MORRIS BERNSTEIN 

President 

WILLIAM K. COBLENTZ 

Vice-President 

DR. Z.L. GOOSBY 

J. EDWARD FLEISHELL 

ATHENA TSOUGARAKIS 



LOUIS A.TURPEN 

Director of Airports 



San Francisco International Airport 
San Francisco, California 94128 



Index 

of the Minutes 

Airports Commission 

September 4, 1984 



Calendar 


Agenda 




Section 


Item 


Title 


A. 




CALL TO ORDER: 


B. 




ROLL CALL: 


C. 




ADOPTION OF MINUTES: 
April 17, 1984 


D. 




ANNOUNCEMENT BY SECRETARY: 


E. 




SPECIAL ITEMS: 




1. 


Election of Officers 




2. 


SFIA Police Officer of 



Resolution 
Number 



F. 



the Year Award for 1983 
Officer Thomas J. Cunnane 

3. Presentation of 

Carnegie Hero Award to 
Airport Police Officer 
Robert V. Sheehan 

DIRECTOR'S REPORTS: 

4. Valet Parking - 

January to June, 1984 

5. Garage Location Reminders 

6. Report on Metropolitan 

Transportation Commission's 
Peninsula Rail Study 

ITEMS INITIATED BY COMMISSIONERS: 

POLICY: 

7. Chewing Gum Policy 

ITEMS RELATING TO ADMINISTRATION, 
OPERATIONS AND MAINTENANCE: 

8. Award of Contract 1275 

Relocation of Utilities, 
Lower Level Loop Road 



84-0251 



84-0252 



84-0250 



Page 
3 
3 



5 
5 

5-8 
- 8 

8-11 



84-0253 



11-12 



Minutes, September 4, 1984, Page 1 



Agenda 
Item 



Title 



Resolution 
Number 



_Pagje 



J. 



CONSENT CALENDAR OF ROUTINE 
ADMINISTRATIVE MATTERS: 

9. Professional Services 

Agreement - Dieter C. Rapp, 
Interior Planting Con- 
sultant, Modification 
No. 4 - £18,000. 

10. Modification No. 1 to 

Agreement with 

Morris, Davis & Company 

11. Rejection of Bid and 

Readvertise for New Bids- 
Contract No. 1200B-18 

12. Rental Credit for 

Qantas Airways 

COMMUNICATIONS : 
PUBLIC HEARIN3: 

13. Adoption of Fiscal Year 

1984/85 Rates and Charges 

TRAILING CALENDAR: 

ADJOURNMENT TO GO INTO CLOSED 
SESSION: 



84-0254 



84-0255 



84-0256 



84-0257 



12 

12 

12 

12 
13 

13 
13 

13 



Minutes, September 4, 1984, Page 2 



Minutes 

of the 

Airports Commission Meeting 

September 4, 1984 



GALL TO ORDER: 

The regular meeting of the Airports Commission was called to order at 
2:00 P.M., in Room 282, City Hall, San Francisco, Ca. 



B. ROLL CALL: 

Present: 



Commissioners Morris Bernstein, 
William K. Coblentz, Ruth S. Kadish, 
Z. L. Goosby, J. Edward Fleishell 



C. ADOPTION OF MINUTES: 

The minutes of the regular meeting of April 17, 1984 were adopted by order 
of the Commission President. 

No. 84-0251 



D. ANNOUNCEMENT BY SECRETARY: 



In accordance with the Brown Act, 
Section 54957.1, Jean Caramatti, 
Commission Secretary, announced 
unanimous adoption of resolution No. 
84-0248 and No. 84-0249 regarding the 
settlement of litigated claims at the 
closed session of August 21, 1984. 



Minutes, September 4, 1984, Page 3 



E. SPECIAL ITEMS: 

1. Election of Officers 

No. 84-0252 

Commissioner Coblentz nominated Commissioner Bernstein for 
President. Commissioner Kadish nominated Commissioner Coblentz for 
Vice President. Commissioner Fleishell seconded both nominations and 
Commissioners Bernstein and Coblentz were unanimously elected. 



SFIA Police Officer of the Year Award for 1983 - Officer Thomas J. 
Cunnane 

No. 84-0250 Presentation of Plaque and Commission 

Resolution to Police Officer Thomas J. 
Cunnane for being chosen San Francisco 
International Airport Police Officer 
of the Year, 1983. 

Mr. Lou Turpen, Airport Director, introduced Officer Cunnane and said 
he was selected by his commanding officers for outstanding 
performance, personal resourcefulness, alertness to duty and 
individual initiative. He is credited with assisting in the 
formation of special training units and of the special services team 
which deals with V.I. P. movements, dignatary protection and other 
special circumstances at the Airport. 

Officer Cunnane thanked his fellow officers for the award. 



Presentation of Carnegie Hero Award to Airport Police Officer Robert 
V. Sheehan 

Mr. Turpen introduced Officer Sheehan, his wife and daughter. He 
reminded the Commission that Officer Sheehan, while off-duty and 
without regard to his personal safety, rescued a motorist trapped in 
a burning automobile and that the Commission had given him 
recognition for his heroism. 

Officer Sheehan is being awarded the Carnegie Award for Heroism, 
established on April 15, 1904 by Andrew Carnegie. The Carnegie Hero 
Fund Commission was created to recognize outstanding acts of selfless 
heroism performed in the United States and Canada. 

Mr. Turpen said it was an honor to present the award to Officer 
Sheehan. 

Officer Sheehan thanked the Commission, Mr. Turpen and the Carnegie 
Commission for the award. 

Commissioner Coblentz thanked both officers on behalf of the 
Commission for their efforts and achievements and for the credit they 
bring to the Airport. 



Minutes, September 4, 1984, Page 4 



DIRECTOR'S REPORTS: 

4. Valet Parking 

Report covering the 6-month period 
from January to June 1984 on Valet 
Parking Service as requested by the 
Commission. 

Mr. Turpen said that staff continues to monitor this operation. The 
price has been increased from $15 to $16 which would indicate a break 
even for the next period. The operation will be monitored on a 
quarterly basis with reports to the Commission. 



5. Garage Location Reminders 

Report on the result of testing two 
(2) location reminder machines in the 
garage, recommending installation of 
the machines in all elevator cores of 
the garage. 

Mr. Turpen said that garage location reminders were installed in a 
limited number of locations to determine if the system would be 
successful. He said that 11-1/2 percent of those individuals using 
the garage used the location reminders, or, about 1300 people a day 
would use them if they were installed in all garage cores on all 
levels (about 35 in all.) Mr. Turpen recommended installing them at 
a cost of about $50,000 and will return at the next meeting with a 
resolution if there are no objections. 

Commissioner Fleishell asked if this will be done in-house. 

Mr. Bob Epif anio of Landside Operations responded that the units 
would be purchased from Cincinnati Time and installation would be 
done in-house. 



Report on Metropolitan Transportation Commission's Peninsula Rail 
Study. 

Report summarizing the status of the 
Metropolitan Transportation 
Commission's Peninsula rail study. 

Mr. Turpen said he was bringing this item to the Commission for their 
information because it is important that they be aware of the 
thinking on the BART extension. He said that the Commission must • 
face the following issues regarding the BART extension and the West 
of Bay shore property: 

(1) should we have a BART terminal in the garage; 

(2) should BART terminate on the West of Bayshore property in 
the vicinity of the interchange; and 

(3) if so, will that be the terminus station or will it be in 
Mi librae? 

Mr. Turpen said that if the terminus were located in the garage there 
would be no parking provided in the sense that the Airport would not 
be used as a commuter link. He said increased traffic would be 



Minutes, September 4, 1984, Page 5 



anticipated in the terminal complex. He said that the garage could 
be used as a parking facility if the line is extended beyond the 
Airport to a Millbrae station. Mr. Turpen explained that tunnels 
leading from BART would be connected to the existing tunnels 
connecting the terminals to the garage. 

The second alternative is the West of Bayshore station where there 
might be transfers between Southern Pacific or some type of light 
rail system and BART. The line would terminate at the Airport and 
passengers would be transfered to the Airport by some sort of 
people-mover system. The parking options are no parking at all or 
parking provided on the West of Bayshore. This option could pose 
some problems in terms of traffic and would preclude a rental car 
relocation for that area with a direct on - direct off access. 

Commissioner Fleishell said that the Metropolitan Transportation 
Commission's study is 15 years from extending BART and they have 
thrown in every conceivable political option available to them. 
Staff will have very little to say about it. 

Mr. Turpen responded that the Metropolitan Transportation Commission 
began a rail study of the Peninsula which impacts land owned by the 
City and County of San Francisco and controlled by the Airport. He 
said that if the Commission felt it inappropriate to plan for parking 
on the West of Bayshore or to encourage a terminus station on the 
West of Bayshore those decisions can be made and input into any 
studies that are contemplated. If the Commission feels that a 
terminus station in the garage is not the appropriate avenue from a 
policy perspective then that can be eliminated as well. 

Commissioner Fleishell asked if a plan was made to accommodate BART 
when the garage was built. 

Commissioner Coblentz responded that $2-3 million was spent. 

Commissioner Fleishell commented that if money was spent to make the 
accommodation why was staff considering abandoning that option. He 
asked if staff has coordinated this with the Public Utilities 
Commission who has an overall City transportation policy. 

Mr. Epifanio responded that representatives of PUC and City Planning 
are on the study commission. The study is trying to identify whether 
the extension to the terminals, which would cost about $150-million 
more than going to the West of Bayshore, would be cost effective and 
whether it is practical for the Airport to compete for the funds. 

Commissioner Fleishell asked if anyone checked the studies that were 
made when the money was spent. 

Mr. Turpen said the garage capacity is presently 7,000 vehicles and 
that capacity will be met within 5-6 years. It is his understanding 
that the concept of BART is simply a mass transit alternative for - 
passengers using the Airport and the implication of parking at the 
Airport to use BART were it not extended to another location was an 
active consideration in the sizing and planning of the garage. Mr. 
Turpen said that, in effect, the garage was sized to service what the 
Airport anticipated its closed-in parking needs to be when it reaches 
its ultimate capacity. 

Commissioner Goosby felt that the original study should be reviewed. 
He also suggested that this study might be appended to the Land Use 
Study. This position could be presented to the State and the 
nine-county transit committee rather than wait to react to wliat is 
presented to the Airport. 



Minutes, September 4, 1984, Page 6 



Mr. Turpen said the purpose was to let the Commission know that a 
decision will be necessary in this matter. The Airports Commission, 
by virture of approving the preparation of the garage for accepting 
BART had implied a policy that that is what they wanted to do. As 
the location of the International Terminal was changed he felt that 
the Commission might want to examine the alternatives. The 
Commission can support one of two alternatives: an in-garage or West 
of Bay shore. He will return to the Commission with a charted 
breakdown of the in-garage alternative as requested. 

Commissioner Fleishell said that based on current information he felt 
it would be a disaster to bring BA.RT into the terminal as it has 
outgrown itself in advance of our estimates. He said that planning, 
financing and construction would take a minimum of 10-year s. He felt 
it should be on the West of Bayshore. 

Mr. Turpen said that Mr. Fein and Mr. Epifanio are well equipped to 
address this issue. 

Commissioner Goosby said he would be interested in knowing what the 
reasoning was in planning for Bft.RT in the garage. 

Commissioner Coblentz said he was on the Commission at the time and 
that the expectation was that BA.RT would come to the Airport and then 
continue on down the Peninsula. The $>2-million cost was small in 
comparison to what it would be to detour BART to the Airport and not 
have made the provision. He said it was a gamble at the time but it 
made sense to do it. Now the cost of bringing it into the Airport is 
about £>100-million and it would not simply be a way station but a 
terminus. He did not think it likely that San Mateo would incur a 
tax to support this in the future. 

Mr. Turpen reiterated that he felt it was important for the 
Commission to make a policy statement as to whether they wanted BART 
to come into the garage or the West of Bayshore. 

Commissioner Coblentz felt that the West of Bayshore should be looked 
at as planning for the garage has already been accomplished. 

Mr. Epifanio said that one of the functions of the study is to 
determine the cost estimate for a BART station West of Bayshore and 
the garage and then to forecast what the station would do to 
patronage on the line. 

Commissioner Kadish felt that there should be a priority to determine 
the amount of disruption a particular alternative would bring to the 
Airport. 

Mr. Turpen said that the Commission must decide, from a policy 
perspective, if they even want to entertain the idea of a parking 
facility on the West of Bayshore for BART. 

The Commission agreed that would not be the best use for that land. 

Mr. Turpen said that the 90 acres previously discussed would only be 
slightly impacted by this alternative. There is some additional 
acreage that is not nearly as good which could also be used. He said 
the Commission's decision would impact any planning to be done on the 
West of Bayshore in terms of the Land Use Plan. 

Commissioner Fleishell asked who was doing the study. 



Minutes, September 4, 1984, Page 7 



Mr. Epifanio responded that the Metropolitan Transportation 
Commission contracted with Kaiser Engineering Report Management 
Associates. 

Mr. Turpen reiterated that he would keep the Commission advised of 
the situation and at such time as the Commission is ready to make a 
policy decision, even if it is f ive or 10 years in advance, he feels 
it would be appropriate to do so. 



G. ITEMS INITIATED BY COMMISSIONERS : 

Commissioner Kadish said that the "Consultant for Service Station" and 
"Candy Cart" should have been added to the trailing calendar and asked 
that it be taken care of. 



Commissioner Kadish said that the date for completion of the brochure was 
August 1st yet the Commission has not seen a copy. She asked that one be 
forthcoming. 



Commissioner Bernstein asked what was happening with the consultant for 
the service station. 

Mr. Turpen responded that Ms. Gittens was talking to consultants and a 
list would be prepared for the next meeting. 



Commissioner Bernstein asked what was happening with the photo developing 
concession. 

Mr. Turpen responded that a pre-bid conference will be held on September 
20. 



H. POLICY: 

The following item was put over to the next meeting, 



7. Chewing Gum Policy 



Resolution approving the prohibition 
of the sale of chewing gum within the 
Terminal Building Complex. 



Minutes, September 4, 1984, Page 8 



Commissioner Bernstein asked Mr. Gary Hahn of Duty Free Shoppers if 
he wished to address the Commission. 

Mr. Hahn read the attached statement to the Commission. 

Commissioner Kadish asked Mr. Hahn if his figures represented just 
gum sales. 

Mr. Hahn responded that they track their sales ty individual SKU by 
gum. 

Commissioner Fleishell said that at least two airlines (PSA and Air 
Cal) offer gum to their passengers prior to landing and asked if 
anyone checked with the airlines. 

Mr. Turpen responded that some airlines do make gum available. 

Commissioner Fleishell commented that he was not sure that banning 
the sale of gum was the way to go. 

Commissioner Goosby agreed with Commissioner Fleishell. 

Commissioner Coblentz said that he did not know whether passengers 
purchased their gum on-Airport or off but the fact remains that it is 
being deposited at the Airport and ground into the carpet. This is a 
problem in the North and Central Terminals. Commissioner Coblentz 
proposed that gum be sold in the boarding areas only. He said the 
problem is serious and this alternative could be tried. He said that 
the leases could subsequently be amended if it is found that the 
problem is caused by passengers who are purchasing gum off Airport 
and depositing it on the carpet at the Airport after having chewed it 
for a period of time. 

Commissioner Kadish added that since there are total sales of 
$350,000 in gum alone and if those sales are that important to the 
vendor then perhaps the vendor might be interested in contributing to 
a fund to maintain the rugs. 

Commissioner Coblentz did not feel that would be proper. 

Commissioner Goosby felt that concessions located prior to the 
boarding areas would not appreciate refering $55,000 a year in gum 
sales to a competing concession. 

Commissioner Kadish asked Mr. Hahn if Duty Free had a stand in the 
International Terminal in the boarding area which sells gum. 

Mr. Hahn responded that that concession only covers three or four 
gates . 

Mr. Turpen told the Commission that Mr. Bcuey has informed him that 
Phoenix has prohibited the sale of gum and noticed a dramatic change 
in their problem with gum on the carpets. He said Mr. Bcuey confirms 
that the problem is serious. Mr. Turpen said he understands the 
potential for revenue but asked if the Commission would entertain a 
temporary prohibition with a careful review by Mr. Bouey and his 
staff. If the prohibition has a positive impact then it will have to 
be continued. 

Commissioner Coblentz felt that at least a temporary prohibition was 
necessary to determine whether gum was being purchased on or 
off-Airport and that the desire for additional revenue should not 
overshadow the aesthetics of the Airport and the impact of gum on the 
carpets. 



Minutes, September 4, 1964, Page 9 



Commissioner Kadish asked if the resolution could be amended calling 
for a report after three months and another after six months at which 
time a decision would be made on whether or not the prohibition would 
become permanent. 

Mr. Turpen explained that the problem is the phasing of the leases, 
and that you cannot affect existing leases. The North Terminal 
leases all come due between six months and one year. The 
International Terminal has recently been leased and the South 
Terminal has yet to be leased. Mr. Turpen said gum was included in 
all the North Terminal leases with the exception of the Hub lease. 
He felt that a trial period was wise but he was not sure how it would 
be accomplished with the phasing of the leases. He suggested putting 
the item over to give staff the opportunity to take another look at 
it and possibly solicit support for a voluntary program. 

Commissioner Goosby asked Mr. Turpen to look into the feasibility of 
installing carts in the boarding areas for those concessionaires who 
would be denied the opportunity to sell gum. He said that 
eliminating an item from a concession diminishes Airport revenues and 
concession revenues in addition to potentially impacting the 
concessions ability to pay the Airport. 

Mr. Hahn introduced Mr. Lewins Williams. 

Mr. Williams said he and his wife Aida operate Uptown News and 
thanked the Commission for approving him for the MBE program. He has 
been operating Uptown News since July 20, on a 12 hour-a-day, seven 
days a week basis. He told the Commission that Duty Free has been 
very cooperative. 

Mr. Williams said that the day after he opened his shop Angela 
Gittens told him he could not sell gum. He explained that at the 
time he did not realize the problems that would occur. He said that 
six or seven passengers per hour will request gum and become hostile 
when they are told it is not available. He said he directs them to 
the vending machine across from the concession. 

Mr. Williams said that passengers can live without the Chronicle, New 
York Times and Esquire but when he says he doesn't have gum, there is 
a problem because passengers insist they need it when they get on a 
plane. 

Mr. Williams said he and his wife printed up 100 surveys explaining 
the situation and asking if passengers agreed or disagreed with the 
Airport's position. The surveys were left on the counter and out of 
100 unsolicited passengers, stewardesses, pilots, Airport janitors 
and police officers only seven said they didn't want gum. He said 
that the feeling was why should the traveling public, the people who 
built the Airport, be penalized. Why doesn't the Airport put up 
signs or provide trashcans? Why don't the architects think of a 
better floor covering? 

Mr. Williams said the problem is serious and must be solved. 
Passengers want gum. He said it is gum today, it could be chocolate 
tomorrow. 

Commissioner Fleishell agreed adding why not prohibit the sale of 
chewing tobacco or cigarettes. If you're talking about a rug 
cleaning problem, cigarette bums cause permanent damage. He felt 
this was absurd. 



Minutes, September 4, 1984, Page 10 



Coitmissioner Coblentz said he felt the prohibition should be looked 
into. He said that as one who has worked out at the Airport there is 
a great deal of difference between cleaning up gum and cleaning up 
cigarettes. He said he runs through the park every day and that 
people are slobs; they throw things everywhere; they don't care. 
Passengers feel it is not their Airport. 

Mr. Williams said there are recordings every 20 seconds requesting 
people to stand to the right on moving walkways so that people can 
pass to the left. The Airport could have a recording about gum. 

Mr. Turpen recommended putting the item over for two weeks. 

Commissioner Fleishell asked why they were told they could not sell 
gum when there is no policy prohibiting its sale. 

Ms. Gittens responded that the Commission had discussed this about 
eight months ago and was under the impression that there was an 
implied policy. 

Commission Fleishell said there is no such thing as an implied policy. 

Mr. Turpen said this was agreed to by the Commission, was included in 
the bid specifications and he specifically pointed it out. He was 
not certain Commissioner Fleishell was present at that time. 

Commissioner Fleishell said that it is another matter if the lease 
prohibits the sale of gum. 

Mr. Turpen said the Commission has discussed this many times and 
indicated they wanted to change their philosophy with respect to 
leases and that is why the "no gum provision" was incorporated into 
the latest lease and brought back to the Commission. He said it was 
more like an implied direction which the Commission ratified. 



I. ITEMS RELATING TO ADMINISTRATION, OPERATIONS AND MAINTENANCE: 

The following item was unanimously adopted. 

8. Award of Contract 1275 

Relocation of Utilities, Lower Level Loop Road 

No. 84-0253 Award of Contract 1275, Relocation of 

Utilities, Lower Level Loop Road to 
Dalton Construction Co. in the amount 
of $1,620,000. 

Six bids were received on August 24, 
1984. Bids ranged from $1,397,000 to 
$2,132,000. 

The apparent low bidder, E. H. Morrill 
Co., has requested withdrawal of their 
bid because of an estimating error. 
Staff concurs and recommends award to 
Dalton Construction Co., the second 
low bidder. 



Minutes, September 4, 1984, Page 11 



Commissioner Goosby asked if the Human Rights Commission received the 
material. Mr. Jason Yuen, Administrator, Bureau of Planning and 
Construction, responded that they did. 



CONSENT CALENDAR OF ROUTINE ADMINISTRATIVE MATTERS: 

The following items were unanimously adopted. 

9. Professional Services Agreement 

Dieter C. Rapp, Interior Planting Consultant 
Modification No. 4 - $18,000. 

No. 84-0254 Resolution approving Modification 

No. 4 to the Professional Services 
Agreement between the City and Dieter 
C. Rapp, Interior Planting Consultant. 

Modification No. 4 continues to the 
present agreement until September 30, 
1985, at a cost not to exceed $18,000. 

Commissioner Goosby said this has never been out to bid and he was 
told a year ago that it would not be extended again. 

Mr. Dennis Bouey, Deputy Director for Facilities, Operations and 
Maintenance, responded that this contract only involves the South 
Terminal. He explained that this was similar to last year's contract 
in that as each area goes under construction in that terminal the 
contractor is phased out and in-house staff will take over. He said 
that staff currently handles the North and International Terminals. 



10. Modification No. 1 to Agreement with Morris, Davis and Company 

No. 84-0255 Resolution to modify the Professional 

Services Agreement with Morris, Davis 
and Company, CPA' s, for an additional 
$15,000. 



11. Rejection of Bid and Readvertise for New Bids 
Contract No. 1200B-18 

No. 84-0256 Rehabilitation of elevators, 

International Terminal. 



12. Rental Credit for Qantas Airways 

No. 84-0257 Resolution approving rental credit for 

Qantas Airways Limited for Airport 
work performed by Qantas in the 
International Terminal building. 



Minutes, September 4, 1984, Page 12 



K . COMMJNICATICNS : 

There was no discussion by the Commission. 



PUBLIC HEARING: 

The following item was removed from the calendar. 

13. Adoption of Fiscal Year 1984/85 Rates and Charges 



Resolution establishing terminal 
rental and landing fee rates for 
Fiscal Year 1984/85 only and 
authorizing a supplemental 
appropriation from unappropriated 
surplus to the operating fund in an 
amount which will offset Fiscal Year 
1984/85 expenditures. 



M. TRAILING CALENDAR: 

There was no discussion of trailing calendar items. 



0. ADJOURNMENT TO GO INTO CLOSED SESSION: 

There being no further calendared business before the Commission the 
meeting adjourned at 2:55 p.m. to go into closed session. 



fean Caramatti 
/Commission Secretary 



Minutes, September 4, 1984, Page 13 




September 4, 1984 



Duty Free Shoppers 



RE: Chewing Gum Policy 

Resolution approving the prohibition of the sale of chewing 
gum within the Terminal Building Complex. 

President Bernstein, Ms. Kadish, Dr. Goosby, Messrs. Coblentz 
and Fleishell, Director Turpen. 

I am Gary Hahn, General Manager of Duty Free Shoppers, 
San Francisco. 

I would like to speak against the resolution approving the 
prohibition of the sale of chewing gum within the Terminal 
Building Complex. 

We can understand the Commission's concern about used gum being 
dropped on the carpeting in the terminals, and if this would 
cease as a result of prohibiting sales in the terminal gift shops, 
we would not have a problem with this resolution. However, we 
are sure a significant portion of the gum in question is purchased 
outside of the Airport and is already in the passenger's possession 
when they arrive at San Francisco International. Obviously, we 
cannot prohibit the chewing of gum in the airport terminals, so 
the problem is insolvable. 

Furthermore, many airline passengers chew gum when flying because 
it tends to lessen problems with their ears. Doctors often 
recommend to their patients to chew gum when flying as it keeps 
the ears open. Often, this is the only time gum is used. We 
believe this move would result in customer complaints since 
airline passengers have come to expect chewing gum to be available 
for sale in gift shops at airports. As a matter of fact 
Luins Williams, the MBE operator of the newstand in the new 
North Terminal Hub shop, fields numerous customer complaints 
everyday because we do not sell gum. 

Naturally, we are also concerned about the loss of this revenue 
and concerned that in the future other items or lines of merchan- 
dise may arbitrarily be prohibited from sale. Sales of gum in 
our three (3) locations in the Central Terminal totaled more 
than $55,000 in our first full year of operation. At a 20% 
concession fee this represents $11,000 in revenues to the Airport, 
and this is only a small portion of gum sales at SFO. Central 
Terminal emplanements represent only 15% of the total airport 
emplanements . 

DUTY FREE SHOPPERS N.V. 

San Francisco Division 

San Francisco International Airport 
P.O. Box 8308 - SFIA • San Francisco, CA 941 28 
Telex: 278181 



It is safe to say that annual total sales of chewing gum at SFO 
would exceed $350,000 annually. At concession rates of 20 to 25% 
the loss to the Airport in concession payments would be 
approximately $80,000 per year. 

Therefore we, Duty Free Shoppers, respectfully ask that you 
defeat this resolution and permit all News/Gift operations includ- 
ing the new North Terminal Hub shop to sell chewing gum. 

Thank you very much for your valuable time and for permitting us 
to present our view in this matter. 



SAN FRANCISCO 
AIRPORTS COMMISSION 




DOCUMENTS DEPT. 

FEB 2 5 1985 

SAN FRANCISCO 
PURLIO I IRRARY 



MINUTES 



SEPTEMBER 18, 1984 



DIANNE FEINSTEIN, MAYOR 

COMMISSIONERS 

MORRIS BERNSTEIN 

President 

WILLIAM K. COBLENTZ 

Vice-President 

DR. Z.L. GOOSBY 

J. EDWARD FLEISHELL 

ATHENA TSOUGARAKIS 



LOUIS A.TURPEN 

Director of Airports 



San Francisco International Airport 
San Francisco, California 94128 



Index 

of the Minutes 
Airports Commission 

September 18, 1984 



Calendar 


Agenda 




Section 


Item 


Title 


A. 




CALL TO ORDER: 


B. 




ROLL CALL: 


C. 




ADOPTION OF MINUTES 
August 7, 1984 


D. 




SPECIAL ITEM: 



Resolution 
Nunber 



E. 



H. 



1. Retirement Resolution 

For Ken Fritze 

2. Retirement Resolution 

for William J. Luttman 

DIRECTOR'S REPORTS: 

3. Airport Police Review 

4. Automobile Service Station- 

Requested Survey of 
Real Estate Brokers 

ITEMS INITIATED BY COMMISSIONERS: 

Proposition 36/Jarvis 4 

AB 304 

ITEMS RELATING TO ADMINISTRATION, 
OPERATIONS AND MAINTENANCE: 

5. Exchange of Roadway Easement 

and Grant of Utilities Ease- 
ment for Belle Air Island 

6. Lease Modification, 

Northwest Airlines 

CONSENT CALENDAR OF ROUTINE 
ADMINISTRATIVE MATTERS: 

7. Rejection of Bids and Author- 

ization to Re-bid: 
Contract 1211, Central Term- 
inal Modernization - Seventh 
Floor Renovation 



84-0258 



84-0259 



84-0260 



84-0261 
84-0262 



84-0263 



84-0264 



Page 

3 
3 



5-6 

6 
7 



84-0265 



Minutes, September 18, 1984, Page 1 



Calendar Agenda Resolution 

Section Item Title Number Page 

8. Silt Removal - 1984 

Contract No. 1608 84-0266 8 

9. Resolution Approving Assign- 

ment of Contract and Re- 
questing City Controller 
to Transfer Funds from 
Contract 1433 to Contract 
1414AB 84-0267 8 

I. COMMUNICATIONS: 8 

J. PUBLIC HEARING: 

10. Adoption of Fiscal Year 

1984/85 Rates and Charges 9 

K. TRAILING CALENDAR: 9 

M. ADJOURNMENT TO GO INTO CLOSED 

SESSION: 9 



Minutes, September 18, 1984, Page 2 



Minutes 

of the 

Airports Commission Meeting 

September 18, 1984 



CALL TO ORDER: 

The regular meeting of the Airports Commission was called to order at 
2:00 P.M., in Room 282, City Hall, San Francisco, Ca. 



B. ROLL CALL: 

Present 

Absent : 



Commissioners Morris Bernstein, 
Ruth S. Kadish, Z. L. Goosby, 
J. Edward Fleishell. 

William K. Coblentz 



C. ADOPTION OF MINUTES: 
No. 84-0258 



The minutes of the regular meeting of 
August 7, 1984 were adopted by order 
of the Commission President. 



D. SPECIAL HEM: 

The following items were unanimously adopted. 
1. Retirement Resolution for Ken Fritze 



84-0259 



Ken Fritze has served the City and 
County of San Francisco for over 
thirty-eight years with the last 
fourteen on the Airport staff as 
Estimator and Scheduler. 



Minutes, September 18, 1984, Page 3 



2. Retirement Resolution for William J. Luttman 

84-0260 William J. Luttman has served the City 

and County of San Francisco for 
twenty-seven years with the last 
fifteen on the Airport staff as Chief 
of Surveys. 

Mr. Lou Turpen, Airport Director, said that both of these enployees 
have been with the City for many years and served tie City with 
distinction. 



E. DIRECTOR'S REPORTS: 

3. Airport Police Review 

Report to introduce the new Acting 
Chief of Police and the Acting Deputy 
Chief to the Airports Commission. 

Mr. Turpen introduced Ron Driscoll and Jim Gibbs, both recently 
appointed Acting Chief of Police and Acting Deputy Chief of Police 
respectively, of the Airport Police Department. 

Chief Driscoll said it was his understanding that tie Commission has 
already been briefed and understands the basic concepts of the new 
reorganization program being implemented in tie Police Department. 
He explained that the basic goal is to improve the Department's image 
and try to promote a better understanding of tie Airport Police 
Officer through an assertive community service program. He said he 
would be receptive and supportive of the Commission's ideas. 

Commissioner Bernstein congratulated Chief Driscoll and Deputy Chief 
Gibbs and wished them well. He felt that the Police Department 
needed general attention toward the public and a more courteous 
manner. 

Commissioner Fleishell said the Commission is gratified to finally be 
able to choose the leadership of the Department from among the rank 
and file. He felt that the major public image is traffic movement. 
The roadways are underdesigned, requiring more effort on the part of 
the Department to keep traffic moving. He is looking forward to 
seeing an improvement. 

Commissioner Fleishell congratulated both men and told them that the 
Commission was 100 percent behind them. 

Commissioner Goosby offered his congratulations and said he, too, was 
gratified at the chance to appoint from within the ranks of tlie 
Airport Police and that they both had the Commission's support. 

Commissioner Kadish concurred with what had been said and asked that 
the Commission receive progress reports from them rather than going 
through the Director. 



Minutes, September 18, 1984, Page 4 



4. Automobile Service Station 

Requested Survey of Real Estate Brokers 

Report submitting the survey of real 
estate brokers contacted concerning 
the Airport's bid of the automobile 
service station lease. 

Mr. Turpen said that the Commission agreed to have staff take a look 
at working on the service station with a professional real estate 
firm in an effort to develop bid specifications that are reflective 
of current market conditions and to generate interest in the bidding 
process. At the Commission's suggestion staff contacted those firms 
listed on the attachment in the agenda package. Based on the 
Commission's direction it is his recommendation to have staff 
negotiate a professional services contract with Ed Plant. He 
suggested that if this works out well the Airport might want to hire 
him on an as-needed basis for other specialized concessions. 

Commissioner Kadish was gratified that it is such a positive response 
and that information was brought back to the Commission so quickly 
after having been brought up at the last meeting. She felt this 
could be a landmark support system for the Airport and hoped it will 
work out successfully. 

Mr. Turpen said a small professional services contract would have to 
be developed and sent to Civil Service for approval. Staff would 
then return to the Commission with the jointly developed 
specifications. Then, if the Commission felt it necessary, staff 
would continue with phase two and the development of interest, or, 
immediately move ahead to the bidding. 

Commissioner Goosby asked for a definition of Ed Plant's "substantial 
experience" . 

Ms. Angela Gittens, Deputy Director for Business and Finance, said 
that refers to service station contracts back in the 1960's. 

Commissioner Fleishell said that the economics of service stations is 
based on gallonage per year. Once you know the gallonage the rent 
can be determined. Staff can contact any of the major oil companies 
for prices. He said that Chevron and the three other major companies 
are backing out because they are changing their marketing format. 

Commissioner Fleishell felt staff was capable of handling this and a 
consultant was not necessary but he would not oppose it if this is 
what the Commission wanted. 

Commissioner Bernstein responded that this station had unique 
features that he felt were beyond staff's capabilities. He said Ed 
Plant has done work at Standard, for Jim Bronkema at Embarcadero 
Center and the Galleria and he favored him. He complained that staff 
waited until the lease terminated before doing anything and that the 
Airport was getting $500,000 a year and may now only get $40,000 a 
year. 

Commissioner Fleishell said he did not suggest accepting a 
$40,000-a-year rent, however, the Airport will receive nothing near 
what it once got for the service station. He said that the amount of 
rent is pretty much pre-determined no matter who is hired. 



Minutes, September 18, 1984, Page 5 



Commissi crier Goosby felt that if hiring a consultant would give staff 
the confidence to go after a £400, 000 rent he was all for it. He 
said that he respects Ed Plant's ability to get tenants for 
commercial space. 

With regard to the pre-bid conference, Commissioner Goosby said that 
an off-Airport site might be considered for more complex mechanical 
repairs with minor mechanical repairs performed on-site. The 
off-Airport site might increase business and the ability to pay a 
rent closer to what the Airport has been receiving. 

Mr. Turpen said that the intent in limiting the type of repairs was 
to avoid clogging tie roadways with dismantled or broken down cars. 
If major repairs can be performed elsewhere that would be fine. He 
felt that a consultant was an interesting alternative to explore and 
well worth the investment to try and increase the rent. 

Commissioner Fleishell said he contacted one of the larger stations 
in the City to get their input. He said that stations make their 
money on the other services and since the specs will only allow the 
operator to pump gas the Airport will not be able to get the rent it 
wants. Commissioner Fleishell said that the Airport does not need a 
consultant to tell us that. 

Commissioner Bernstein said that there is an enormous profit in 
gasoline today as evidenced by a 30<^ per gallon discount if a 
customer is willing to pump his own gas. He did not feel that staff 
could effectively deal with the service stations and that a man like 
Ed Plant was needed to negotiate this contract. 

Commissioner Bernstein asked Mr. Turpen to talk to Mr. Plant. He 
asked Mr. Turpen to mention to him that lie had once said he would be 
willing to do something for the Airport on a pro bono basis. 



ITEMS INITIATED BY COMMISSIONERS: 

Commissioner Kadish presented a resolution opposing Proposition 36. 

Commissioner Goosby said that an additional whereas clause be added to the 
resolution concuring with tie Board of Supervisors' action opposing 
Proposition 36. 

Commissioner Fleishell said he understood staff was conducting a study on 
the direct impact Preposition 36 would have on the operation of the 
Airport. He said that at least three analyses, one by the State 
Controller, one by the Legislative Analyst and one by U.C., had been 
prepared and suggested that Mr. Garibaldi read them. He asked why staff 
time was being used to study something that is clearly harmful to any 
revenue agency that exists on the use of fees or revenue bonds. The Board 
of Supervisors has already moved ahead on their resolution and now the 
Commission has tils resolution before it. 

Mr. Turpen saici staff was studying the issue to determine ^ecific 
implications en the Airport and what alternatives might be available. 

This resolution was unanimously adopted as amended. 

No. 84-0261 



Minutes, September 18, 1984, Page 6 



Commissioner Fleishell asked that a resolution be drafted urging the 
Governor to sign AB3804. 

The resolution was unanimously adopted. 

No. 84-0262 



ITEMS RELATING TO ADMINISTRATION, OPERATIONS AND MAINTENANCE: 

The following items were unanimously adopted. 

5. Exchange of Roadway Easement and Grant of Utilities Easement for 
Belle Air Island 

No. 84-0263 Resolution authorizing the owners of 

Belle Air Island permission to use of 
utilities easement previously granted 
to SamTrans. 



6. Lease Modification, Northwest Airlines 

No. 84-0264 Resolution approving the relocation of 

existing U.S.O. facilities and a 
modification to the Northwest Airlines 
Lease and Use Agreement to include 
space for the construction of a V.I. P. 
Lounge. 

Commissioner Kadish asked if U.S.O. was in favor of this. 

Mr. Turpen said that a letter is on file agreeing to the relocation. 



H. CONSENT CALENDAR OF ROUTINE ADMINISTRATIVE MATTERS: 

The following items were unanimously adopted. 

7. Rejection of Bids and Authorization to Re-Bid: 
Contract 1211, Central Terminal Modernization - 
Seventh Floor Renovation 

No. 84-0265 A review of tie bids and the documents 

revealed a discrepancy which resulted 
in a wide variance of prices. Due to 
the confusion, staff recommends 
rebidding Contract 1211. 



Minutes, September 18, 1984, Page 7 



8. Silt Removal - 1984 Contract No. 1608 

No. 84-0266 Resolution awarding Contract 1608, 

Silt Removal - 1984, to Dan Dark 
Construction, Inc. in the amount of 
$35,400.00. 

Two bids were received on August 30, 
1984: $35,400.00 and $49,907.50. 



9. Resolution Approving Assignment of Contract and Requesting City 
Controller to Transfer Funds from Contract 1433 to Contract 1414AB 

No. 84-0267 Work under Contract 1433 (South 

Terminal Aircraft Apron Paving Phase 
II) will be combined with Contract 
1414AB (Boarding Area B Renovation) as 
provided by the Contract. Funds need 
to be combined accordingly. No change 
in total contract amount or budget. 

Canmissicner Goosby asked if the same contractor bid and received 
both of these contracts. 

Mr. Jason Yuen, Administrator, Bureau of Planning and Construction, 
responded that they were awarded to two separate contractors and they 
are being combined into one contract. He explained that the paving 
contractor will be a subcontractor to the general contractor. He 
said this is simply a scheduling action. 



I. CCMMLNI CAT IONS: 

There was no discussion by the Commission. 



J. PUBLIC HEARING: 

The following item was put over to the October 2 meeting. 
10. Adoption of Fiscal Year 1984/85 Rates and Charges 



Resolution establishing terminal 
rental and landing fee rates for 
Fiscal Year 1984/85 only and 
authorizing a supplemental 
appropriation from unappropriated 
surplus to the operating fund in an 
amount which will offset Fiscal Year 
1984/85 expenditures. 



Minutes, September 18, 1984, Page 8 



Ms. Gittens said that the revised resolution deletes reference to any 
action on the Jarvis 4 amendment explaining that the airlines 
objected to that language appearing in the legislation. 

Mr. Turpen said it could be a subsequent act on the part of the 
Commission. 

Ms. Gittens said there will be other changes (mentioning cargo rates 
and pension costs as examples) that will have to go into effect if 
Jarvis 4 passes and it would not be just a matter of going back to 
last year's costs. 

Commissioner Goosby asked if the Airport was locking itself in by 
removing that language. 

Ms. Gitens responded that if Jarvis 4 passed changes would still have 
to be made and we coulct not simply revert back to 1983-84 rates. 

Commissioner Fleishell asked for a copy of the Airport General 
Counsel's analysis of Jarvis 4, reflecting the impact on the 
Airport's ability to set its landing fees and other charges. 



K. TRAILING CALENDAR: 

There was no discussion of trailing calendar items, 



M. ADJOURNMENT TO GO INTO CLOSED SESSION: 

There being no further calendared business before the Commission the 
meeting adjourned at 2:43 P.M. to go into closed session. 



Ml 



jfiull /CUM 

J^an Caramatti 
Zommission Secretary 



Minutes, September 16, 1984, Page 9 



SAN FRANCISCO 
AIRPORTS COMMISSION 




DOCUMENTS DEPT. 

I-EB 2 5 1985 

SAN FRANCISCO 
PI.RI.IC 'IBRARY 



MINUTES 



OCTOBER 2, 1984 



DIANNE FEINSTEIN, MAYOR 

COMMISSIONERS 

MORRIS BERNSTEIN 

President 

WILLIAM K. COBLENTZ 

Vice-President 

DR. Z.L. GOOSBY 

J. EDWARD FLEISHELL 

ATHENA TSOUGARAKIS 



LOUIS A.TURPEN 

Director of Airports 



San Francisco International Airport 
San Francisco, California 94128 



Index 

of the Minutes 

Airports Commission 

October 2, 1984 



Calendar 


Agenda 




Resolution 




Section 


Item 


Title 
CALL TO ORDER: 


Number 


Page 


A. 




3 


B. 




ROLL CALL: 




3 


C. 




ANNOUNCEMENT BY SECRETARY: 




4 


D. 




SPECIAL ITEM: 








1. 


Resolution - John A. Damon 


84-0269 


4 


E. 




DIRECTOR'S REPORTS: 







F. 
G. 



H. 



2. Service Station Consultant - 

Verbal Report 

3. Potential Candy Cart Lease 

4. FAR 36 Noise Compliance 

ITEMS INITIATED BY COMMISSIONERS: 

ITEMS RELATING TO ADMINISTRATION, 
OPERATIONS AND MAINTENANCE: 

5. Resolution Awarding Lease for 

Cigarette Vending Operation 

in the International Terminal 84-0270 

6. Resolution approving Amendment 

No. 12 to Gensler & Asso- 
ciates' Professional Services 
Agreement 84-0271 

7. Contract No. 1426 

Overlay of Taxiway L 84-0272 

CONSENT CALENDAR OF ROUTINE 
ADMINISTRATIVE MATTERS: 

8. Rental Credit to 

Duty Free Shoppers 84-0273 



4 
5-6 
6-7 

7 



7-8 



Minutes, October 2, 1984, Page 1 



Calendar Agenda Resolution 

Section Item Title Number Page 

9. Tenant Improvement : 

United Airlines 
Maintenance and Operations 
Center 84-0274 8 

10. Request for Approval of 

Travel/Training for 
Airports Commission 
Representatives 84-0275 8 

I. COMMUNICATIONS: 9 

J. PUBLIC HEARING: 

11. Adoption of Fiscal Year 

1984/85 Rates and Charges 84-0276 9 

K. TRAILING CALENDAR: 9 

L. CLOSED SESSION: 3&9 

M. ADJOURNMENT: 9 



Minutes, October 2, 1984, Page 2 



Minutes 

of the 

Airports Commission Meeting 

October 2, 1984 



A. CALL TO ORDER: 

The regular meeting of the Airports Commission was called to order at 
2:00 P.M., in Room 282, City Hall, San Francisco, Ca. 



B. ROLL CALL: 



Present: Commissioners Morris Bernstein, 

Ruth S. Kadish, Z. L. Goosby, 
J. Edward Fleishell. 

Absent: Commissioner William K. Coblentz 



L. CLOSED SESSION: 

The meeting adjourned at 2:01 P.M. to go into closed session and 
reconvened at 2.35 P.M. 



Mr. Lou Turpen, Director of Airports, introduced Mr. Frank Nakashima, 
Assistant to the District Manager of Japan Airlines. Mr. Nakashima is 
being promoted and transfered to Los Angeles after 18 years at San 
Francisco International Airport. Mr. Turpen said Mr. Nakashima has been 
an instrumental figure in the airline community in coordinating with the 
Airport and helping to develop the type of facility it is today. 

Mr. Turpen wished Mr. Nakashima the best of luck and expressed his sorrow 
at his leaving. 

Mr. Nakashima thanked Mr. Turpen and told the Commission that he had mixed 
emotions about the transfer. He said that he has enjoyed attending the 
Commission meetings and thanked Mr. Turpen and his staff for their help 
and the Commission for their support. 



Minutes, October 2, 1984, Page 3 



Commissioner Kadish asked Mr. Nakashima to let them know if there is 
anything they can do to get him back. He is the one member of the airline 
community who consistently attends the Commission meetings. 



D. SPECIAL ITEM: 

The following item was unanimously adopted. 
1. Resolution - John A. Damon 



No. 84-0269 



Resolution for John A. Damon who has 
served the San Francisco International 
Airport Police Department since 1983 
with dedication and distinction. 



C. ANNOUNCEMENT BY SECRETARY: 



In accordance with the Brown Act, 
Section 54957.1, Jean Caramatti, 
Commission Secretary, announced 
unanimous adoption of Resolution 
No. 84-0268 regarding the settlement 
of litigated claim of Piombo 
Corporation in the amount of $350, 000 
at the closed session of September 18, 
1984. 



DIRECTOR'S REPORTS: 

2. Service Station Consultant - Verbal Report 

Mr. Turpen said that he talked to Ed Plant, as the Commission 
instructed, regarding a cooperative venture with respect to the 
service station. Mr. Plant reinforced his company's willingness to 
work with the Airport in developing bid specifications as well as 
attempting to encourage bidding participation. Mr. Plant promised to 
get back to him by Wednesday or Thursday of this week. There will be 
a presentation at the next meeting as to how the relationship would 
work, how Mr. Plant's expertise would be incorporated into the 
Airport's process and the cost. 



Minutes, October 2, 1984, Page 4 



2. Potential Candy Cart Lease 

Mr. Turpen said that the Commission had asked staff to take a look at 
a location for a cart type operation with candy as the potential 
sale item. 

Mr. Turpen said that there are several locations at the Airport where 
a cart could be placed and they are outlined in the report. With 
respect to candy, there are some constraints in the International and 
South Terminals because of the exclusivity of the Hicks lease. 
Although exclusivity is not a problem in the North Terminal every 
concession in the potential locations sells candy. 

Mr. Turpen said that Commission direction is required for a trial 
basis activity. If the Commission wants to develop this on a 
permanent basis then the concession will be bid and specs will have 
to be developed. 

Commissioner Fleishell asked why the Commission had to deal with this 
as he felt it was a staff function. 

Mr. Turpen commented that there was a flower cart in the North 
Terminal at the entrance to the connector that was seldom open for 
business. It was decided that since the current cart operation was 
not effective another type of merchandise might be considered for 
that location. Candy was one of the items suggested and it was 
looked at vis-a-vis leases and other competitive aspects. 

Commissioner Bernstein commented that the Commission had suggested 
chocolate truffles. He said he did not intend this to be a cart 
operation nor that it be located next to Atari' s Game Room. He 
suggested that staff visit I. Magnin' s or Macy's candy concession 
area. 

Mr. Turpen responded that with respect to the South and International 
Terminals there is a current exclusive which has existed for sane 
time which would preclude the sale of candy. The leases in the North 
Terminal are non-exclusive. He said that his instructions to staff 
were to identify every possible location in the terminals and 
identify the competing activities in the vicinity of each specific 
location. He explained that it was his intention to offer a range of 
alternatives available in the North Terminal. 

Commissioner Kadish felt there is inadequate awareness as to the 
potential productivity, both from a revenue point of view and a 
passenger service point of view, the proper kind of installation 
could have. She suggested that perhaps the type of installation 
should be defined. Commissioner Kadish said that the concession 
could carry candy items not found in other areas of the Airport. 

Commissioner Goosby suggested that staff first determine the best way 
to increase revenue and then the type of merchandise. He said he 
would be in favor of determining the legality of a set-aside for a 
cart. 

Mr. Turpen said that the space by the connector in the North Terminal 
offers good exposure but the cart that was in that location was not 
marketed well nor did the merchandise sold appeal to passengers. 

Commissioner Goosby did not want to sell merchandise that would draw 
business from other concessionaires. 



Minutes, October 2, 1984, Page 5 



Commissioner Bernstein did not intend to take business away from the 
other concessionaires by installing a truffles cart. He thought it 
would be an excellent opportunity for a minority. 

Commissioner Kadish suggested using Mr. Plant's services and asked 
for a report to the Commission. 

Mr. Turpen responded that he didn't want to get into the second phase 
without completing the first. He said that the Commission has 
approved the location on three separate occasions. He asked for time 
to generate ideas and return to the Commission for discussion. He 
would like to investigate Commissioner Goosby's suggestion for a 
minority set-aside and then decide which way to go. 

Commissioner Goosby reminded Mr. Turpen of Commissioner Bernstein' s 
suggestion. 

Mr. Turpen said this item would come back to the Commission at the 
first meeting in November along with a report on the new MBE 
legislation. 



4. FAR 36 Noise Compliance 

Report to Commission on their 1978 
Resolution which requires all aircraft 
to be noise certificated in order to 
operate at San Francisco International 
Airport after January 1, 1985. 

Mr. Turpen stated that this is a reminder to the Commission that 
January, 1985 is the deadline for all aircraft operating at SFO to be 
certificated under FAR 36. All airlines will be reminded of this 
deadline. 

Commissioner Fleishell asked if there should not be a policy stating 
that any application for exemption of these rules by the airlines 
will be viewed with disfavor. 

Mr. Turpen quoted the 1978 resolution: "no variance would be 
considered which requests relief from provisions from FAR 36 or FAR 
91, as they apply unless the variance has been previously granted to 
the airline operator by the appropriate Federal agency. Under no 
circumstances will the Airports Commission extend the time of 
compliance beyond January 1, 1985." 

Commissioner Fleishell said that the Governor has vetoed the Robinson 
bill. He has arranged with the City Attorney to prepare a letter to 
Mr. Suskind, the Assistant Attorney General in charge of Anti-Trust, 
asking that he intervene in the Hallie case dealing with the 
anti-trust problem. He asked that Mr. Garibaldi send copies of the 
letter to every airport in the state requesting that each City 
Attorney write a similar letter to the Attorney General. 

Commissioner Fleishell said that in the Governor's veto message of 
the bill he indicated that the Airport has the authority to control 
the number of aircraft that land at SFO but he has been told that we 
do not have that authority. It also said that we can control the 
times of departure and he has been told that we do not; and that we 
can control the departure route with the cooperation of the FAA and 
he has been told that we cannot. He said that the advice that we 



Minutes, October 2, 1984, Page 6 



have been given is contrary to advice given to Orange County. They 
do control the number of aircraft, the hours of departure and the 
types of aircraft. He asked for a written response as to whether or 
not SFO has these controls. 

Commissioner Fleishell said Orange County has an anti-trust exemption 
granted by the Department of Transportation. 

Mr. Turpen said he would attempt to get the information to this 
Commission by the next meeting. 



F. ITEMS INITIATED BY COMMISSIONERS : 

Commissioner Goosby complimented Julie Yim and the Human Rights Commission 
in trying to keep the Commission informed of concessionaires meeting 
affirmative action guidelines. He said the information was helpful to the 
Commission and to keep it coming. 



G. ITEMS RELATING TO ADMINISTRATION, OPERATIONS AND MAINTENANCE: 

The following item was unanimously adopted. 

5. Resolution Awarding Lease for Cigarette Vending Operation in the 
International Terminal. 

No. 84-0270 Resolution awarding lease for 

cigarette vending operation in the 
International Terminal Building to 
J.V. Vending, a sole proprietorship. 



The following item was adopted by a 3-1 vote with Commissioner Goosby 
casting the dissenting vote. 

6. Resolution Approving Amendment No. 12 to Gensler & Associates' 
Professional Services Agreement 

No. 84-0271 $26, 600 has been budgeted as design 

fee for Contract 1211, Remodeling FAA 
Facilities, 7th Floor, International 
Terminal. However, due to a staff 
oversight, this sum was not included 
in Gensler' s Professional Services 
Contract. Amendment No. 12 corrects 
this oversight. It also increases the 
scope of work to include the design of 
an exterior wind screen ($15,000) for 
the International Terminal and 
extension of time to March 31, 1985. 



Minutes, October 2, 1984, Page 7 



Commissi crier Goosby asked why the job was going to Gensler. 

Mr. Yuen responded that since the windshield will cover a major 
portion of the front of the building Gensler should design it. 



Contract No. 1426 
Overlay of Taxiway L 

No. 84-0272 



Resolution awarding Contract No. 1426, 
Overlay of Taxiway L to Ghilotti 
Bros. , Inc. , in the amount of 
$1,163,365. 

Three bids were received on August 30, 
1984 ranging from $1,163,365 to 
$1,187,610. 



CONSENT CALENDAR OF ROUTINE ADMINI STRATIVE MATTERS 
The following items were unanimously adopted. 
8. Rental Credit to Duty Free Shoppers 
No. 84-0273 



Resolution approving rental credit to 
Duty Free Shoppers, in an amount not 
to exceed Six Thousand Dollars 
(£6,000.00), for replacement of an 
exterior sign. 



Commissioner Flei shell thought that Mr. Turpen should take another 
look at the Design Review Committee. 



9. Tenant Improvement: United Airlines Maintenance and Operations 
Center. 



No. 84-0274 



Repave roadways north end of buildings 
15/15W. T-2899, $80,000. 



10. Request for Approval of Travel/ Training for Airports Commission- 
Representatives 

No. 84-0275 



Minutes, October 2, 1984, Page 8 



I. COMMUNICATIONS: 

There was no discussion by the Commission. 



J. PUBLIC HEARING: 

The following item was unanimously adopted. 

No. 84-0276 Resolution establishing terminal 

rental and landing fee rates for 
Fiscal Year 1984/85 only and 
authorizing a supplemental 
appropriation from unappropriated 
surplus to the operating fund in an 
amount which will offset Fiscal Year 
1984/85 expenditures. 

Commissioner Fleishell said he was contacted by representatives of 
SFO Helicoptor and West Air asking that it be noted in the public 
hearing that they oppose the charges for their respective aircraft on 
the basis of landings rather than weight. They base their objections 
on the contention that charging in that manner discriminates against 
them and is in violation of the ADAP rules of funding. 



K. TRAILING CALENDAR: 

There was no discussion of trailing calendar items. 



M. ADJOURNMENT TO GO INTO CLOSED SESSION: 

There being no further calendared business before the Commission the 
meeting adjourned at 3:05 P.M. to go into closed session. 



i/ttf- (J**'< '<&££. 



Sandra Crumpler 

Acting Commission Secretary 



Minutes, October 2, 1984, Page 9 



SAN FRANCISCO 
AIRPORTS COMMISSION 




DOCUMENTS DEPT. 

I EB 2 5 1985 

SAN FRANCISCO 
pi mi \C ' iRRAPV 



MINUTES 



OCTOBER 16, 1984 



DIANNE FEINSTEIN, MAYOR 

COMMISSIONERS 

MORRIS BERNSTEIN 

President 

WILLIAM K. COBLENTZ 

Vice-President 

DR. 2.L. GOOSBY 

J. EDWARD FLEISHELL 

ATHENA TSOUGARAKIS 



LOUIS A.TURPEIM 

Director of Airports 



San Francisco International Airport 
San Francisco, California 94128 



Index 

of the Minutes 

Airports Commission 

October 16, 1984 



Calendar 
Section 



Agenda 
Item 



Title 



Resolution 
Number 



Page 



A. 
B. 
C. 



D. 
E. 

F. 



CALL TO ORDER: 

ROLL CALL: 

DIRECTOR'S REPORTS: 

Consultant for Service 
Station - Verbal Report 

Bay Area Teleguide - 

Status Update - Verbal Report 

Service Center - Verbal Report 

ITEMS INITIATED BY COMMISSIONERS: 

POLICY: 

Amended Vending Machine 

Policy 84-0277 

ITEMS RELATING TO ADMINISTRATION, 
OPERATIONS AND MAINTENANCE: 

Modification No. 1 and Comple- 
tion of Airport Contract 
No. 1525, Replacement of 12 
Inch and 24 Inch Water Main 
at Butler Ramp Area and at R-21 
Roadway 84-0278 

Rejection of Bids and Author- 
ization to Re-Bid Contract 
No. 1474, Demolition of Old 
Shuttle Bus Maintenance Build- 
ing and Site Improvements 84-0279 

Bid Call - Airport Contract 

No. 1613, Alcove Remodel, 

First Floor, International 

Terminal 84-0280 



3^1 

4 

4-5 



5-6 



Minutes, October 16, 1984, Page 1 



Calendar 
Section 



Agenda 
Item 



Title 



Resolution 
Number 



Page 



G. 



8. $495, 585 Supplemental 
Appropriation to Increase 
the Airport's Fiscal Year 
1983/84 Annual Service 
Payment 

CONSENT CALENDAR OF ROUTINE 
ADMINISTRATIVE MATTERS: 

9. Resolution Commending 
Frank Nakashima of 
Japan Air Lines 

10. Award of Contract 1211, 
FAA Facilities, Seventh 
Floor, International 
Terminal - $390,735 

11. Declaration of Emergency- 
Water Line 



84-0281 



84-0282 



84-0283 



84-0284 



12. 



13. 



Statistical Adjustments 
for 1984-85 Joint Use 
Billings under New Lease 
and Use Agreement 

Supplemental Appropriation, 
Airports Judgments and 
Claims Fund 



84-0285 



84-0286 



COMMUNICATIONS: 

Appointment of Howard Friedman 
as Alternate Member for Airports 
Commission on Airport/ Art 
Joint Committee 

Retirement of Betty Jones, 
Senior Payroll Clerk 

TRAILING CALENDAR: 

CLOSED SESSION: 

ADJOURNMENT: 



84-0287 



84-0288 



Minutes, October 16, 1984, Page 2 



Minutes 

of the 

Airports Commission Meeting 

October 16, 1984 



A. CALL TO ORDER: 

The regular meeting of the Airports Commission was called to order at 
2:02 P.M., in Room 282, City Hall, San Francisco, Ca. 



B. ROLL CALL: 



Present: Commissioners Morris Bernstein, 

Z. L. Goosey, J. Edward Fleishell 

Absent: Commissioners William K. Coblentz, 

Ruth S. Kadish 



C. DIRECTOR'S REPORTS: 

1. Consultant for Service Station - verbal report 

Mr. Lou Turpen, Airport Director, said that he is meeting next week 
with Ed Plant to discuss this matter with him. Staff is working with 
Reed Redwine of Mr. Plant's firm to develop the proposal under which 
Mr. Plant's services would be utilized. By the November 6 meeting he 
should have costs and an outline of what will be accomplished for the 
Commission' s review. 



2. Bay Area Teleguide 

Report reviewing Bay Area Teleguide' s 
Airport operations and passengers' 
acceptance of same. 

Mr. Turpen said that Chronicle Videotex has been very responsive to 
any malfunctions in the system. Forty machines were promised for the 
Airport, 18 are presently operating and the Airport will shortly go 
to 25. The machines are averaging about 2500 hits (or key punches) 
daily on each terminal which is in excess of the 1400 typically 
experienced. He explained that this figure is not meaningful until 
it is determined exactly what is being punched up (ie. Airport 
information or baseball scores). Teleguide has promised a printout 
of what information was accessed through the computer by the end of 
this week. 



Minutes, October 16, 1984, Page 3 



Mr. Turpen said that the Commission has given the system a 6-month 
trial and in January staff will present a report with a 
recommendation to either continue or abandon it. As soon as staff 
receives the information on what is being accessed it will be sent to 
the Commission. 



3. Service Center 

Mr. Turpen said that staff is looking into a service center, which 
would include Xerox machines, secretarial support, etc. Dennis 
Bennett of Mercury International has the right to provide this 
service as part of the Mercury Insurance lease. He has asked to be 
given 60 days to look into it and return to staff with a proposal. 
The Commission will have staffs' report within 60-90 days. He said 
the Airport is not obligated to go with Mr. Bennett but since he does 
have an option to provide such a service he felt it only fair to 
allow him the opportunity to make a proposal. 



D. ITEMS INITIATED BY COMMISSIONERS : 

Commissioner Goosby asked how the Student Intern Program was progressing 
and if the ground rules have been worked out with the unions involved. 

Mr. Turpen responded that staff does not anticipate putting this program 
in until next year because of the very strong resistance. Staff is taking 
another look at restructuring the program in terms of a management 
orientation program. This has been well received by the participating 
institutions. He explained that the original program would have placed 
about 20 students into specific Airport classifications. Because of 
labor union concerns that this might impact hiring or job security the 
program was abandoned and a new program aimed at the management level is 
being considered. He explained that the San Mateo Labor Coalition, the 
coalition representing all of the unions at the Airport, had been 
contacted and their concurrence to move ahead with the original program 
was received. As the program neared implementation, individual unions 
started complaining that they had not been advised. Mr. Turpen said he 
asked each of the unions involved to reconsider however none of them 
responded to that request. When the request was made again staff was 
advised by the unions that they would oppose anything of this nature. 
Since it was felt that the program was worthwhile a new avenue was 
approached. Mr. Turpen said he called Mr. Martin and was told that he did 
not want to meet or discuss the issue. 

Mr. Turpen said that it was his understanding that some of the unions 
desired to reopen some of their agreements and include this as part of a 
negotiating package. He said he would not want to reopen the agreements 
in order to include a very limited, narrowly focused program. He hopes to 
get support for the new program. 



Minutes, October 16, 1964, Page 4 



Commissioner Bernstein said he has been receiving more and more complaints 
about the lack of skycaps. He asked Mr. Turpen to take this up with the 
airlines. 

Mr. Turpen said there is language in the new Rules and Regulations 
requiring the airlines to have skycap service available two hours prior to 
departure and upon arrival. He said he would take a look at the specific 
wording to see what the Airport could do about it but believed it said: 
"...sufficient persons to handle the anticipated volume." 



Commissioner Fleishell said that he heard a rumor that the Commission will 
be asked to color code the carpet in the Customs area. 

Mr. Turpen said that about a week ago he met with Mr. Figlioli, the Chief 
Inspector. He said that presently there are colored tubes that hang from 
the ceiling but are not very visible because of the height of the 
ceiling. Mr. Turpen said that a pattern has been decided on and referred 
to the Design Review Committee. He hoped to have it before the Commission 
at the next meeting. He explained that pieces of the existing carpet 
would be cut out and replaced by strips of carpeting that will be color 
coded to match folders distributed to each arriving international 
passenger. The passenger then follows that color carpet. 



E. POLICY: 

The following item was unanimously adopted. 

4. Amended Vending Machine Policy 

No. 84-0277 Resolution amending Airport's "Vending 

Machine Policy" . 

Mr. Turpen explained that this was a wording change to our existing 
policy made at the direction of the City Attorney. 

Commissioner Fleishell suggested that someone read it for grammatical 
errors. 



F. ITEMS RELATING TO ADMINISTRATION, OPERATIONS AND MAINTENANCE: 

The following items were unanimously adopted. 

5. Modification No. 1 and Completion of Airport Contract No. 1525, 

Replacement of 12 Inch and 24 Inch Water Main at Butler Ramp Area and 
at R-21 Roadway. 

No. 84-0278 Resolution accepting the work under 

Airport Contract No. 1525, Replacement 



Minutes, October 16, 1984, Page 5 



of 12 inch and 24 inch Water Main at 
Butler Ramp Area and at R-21 Roadway 
as satisfactorily completed; extending 
the completion date from July 3, 1984 
to July 31, 1984; approving and 
requesting the Controller' s 
certification of Modification No. 1; 
and approving final payment of 
£36,050.73 in favor of the contractor, 
Ranger Pipelines, Inc. 



6. Rejection of Bids and Authorization to Re-Bid Contract No. 1474, 
Demolition of Old Shuttle Bus Maintenance Building and Site 
Improvements. 

No. 84-0279 Resolution rejecting all bids for 

Contract No. 1474, and authorizing the 
Director of Airports to re-advertise 
and call for bids when ready. 

The low bid is substantially above the 
construction budget. 

Commissioner Bernstein asked Mr. Turpen to once again look into 
charging for the shuttle bus service. 

Commissioner Goosby said New York does not charge for this service. 

Mr. Turpen said that the last study showed that other airports did 
not charge for the service. He said he would instruct staff to do 
another survey to see if trends have changed. 



Bid Call - Airport Contract No. 1613 

Alcove Remodel, First Floor, International Terminal 

No. 84-0280 Resolution approving the scope, budget 

and schedule for Airport Contract No. 
1613, and authorizing the Director of 
Airports to call for bids when ready. 
The work consists of developing space 
for lockers and newspaper racks in an 
existing alcove next to the Medical 
Clinic. 

Contract time is 45 calendar days. 



£495, 585 Supplemental Appropriation to Increase the Airport's Fiscal 
Year 1983/84 Annual Service Payment 

No. 84-0281 Airport's 1983/84 concession revenues 

were £43,303,903. Under the Lease and 
Use Agreement 15% of these revenues 
(£6,495,585) must be paid to the 
City. Since the Airport only budgeted 
£6-million for the annual service 
payment, a £495,585.00 supplemental 
appropriation is required. 



Minutes, October 16, 1984, Page 6 



CONSENT CALENDAR OF ROUTINE ADMINISTRATIVE MATTERS: 

The following items were unanimously adopted. 

9. Resolution Commending Frank Nakashima of Japan Airlines 

No. 84-0282 Resolution commending Frank Nakashima 

for a job well done and warmest wishes 
for continued success in his transfer 
to Los Angeles International Airport. 



10. Award of Contract 1211, FAA Facilities 

Seventh Floor, International Terminal - $390,735 

No. 84-0283 Five bids were received on October 5, 

1984. The lowest bid (total bid of 
$381,800) is rejected since it did not 
include a price for Alternate No. 4, 
Temporary Protection for Roofing Work. 



11. Declaration of Emergency - Water Line 

No. 84-0284 Proposed resolution declaring the 

existence of an emergency in the 
failure of a water line at the Hilton 
Inn parking lot; directing the 
Director of Airports to effect the 
necessary repairs and requesting the 
Controller to certify funds needed to 
effect such repairs. 

Water Line - £20,000.00. 



12. Statistical Adjustments for 1984-85 Joint Use Billings under New 
Lease and Use Agreement 

No. 84-0285 Resolution adjusting 1984-85 Joint Use 

Billings pursuant to Section 101. W of 
the new Airline Airport Lease and Use 
Agreement for Minerve S.A. 



13. Supplemental Appropriation, Airports Judgments and Claims Fund 

No. 84-0286 This calendar item concerns a . 

supplemental appropriation request by 
the office of the Airports General 
Counsel for an additional £200,000.00 
to be appropriated for the Airports 
judgments and claims fund. 



Minutes, October 16, 1984, Page 7 



J. CLOSED SESSION: 

The meeting adjourned at 2:15 P.M. to go into closed session and 
reconvened at 2:45 P.M. 



H. COMMUNICATIONS: 

The following items were unanimously adopted. 

Commissioner Bernstein introduced a resolution appointing Howard Friedman 
as an alternate member for the Airport to the Airport/Art Joint Committee. 

No. 84-0287 



Commissioner Goosby introduced a resolution honoring the retirement of 
Betty Jones, Senior Payroll Clerk. 

No. 84-0288 



I. TRAILING CALENDAR: 

There was no discussion of trailing calendar items. 



K. ADJOURNMENT: 



There being no further calendared business before the Commission the 
meeting adjourned at 2:45 P.M. to go into Closed Session. 





Ira Crumpler 
Acting Commission Secretary 



Minutes, October 16, 1984, Page 8 



SAN FRANCISCO 
AIRPORTS COMMISSION 




DOCUMENTS DEPT. 

I-EB 2 5 1985 

SAN FRANCISCO 

p.nl ir ' IRQARV 



MINUTES 



NOVEMBER 6, 1984 



DIANNE FEINSTEIN, MAYOR 

COMMISSIONERS 

MORRIS BERNSTEIN 

President 

WILLIAM K. COBLENTZ 

Vice-President 

DR. Z.L. GOOSBY 

J. EDWARD FLEISHELL 

ATHENA TSOUGARAKIS 



LOUIS A.TURPEIM 

Director of Airports 



San Francisco International Airport 
San Francisco, California 94128 



Index 

of the Minutes 

Airports Commission 

November 6, 1984 



Calendar 


Agenda 




Section 


Item 


Title 


A. 




CALL TO ORDER: 


B. 




ROLL CALL: 


C. 




ADOPTION OF MINUTES: 



Resolution 
Number 



Page 

3 
3 



D. 



E. 

F. 



G. 



August 21, 1984 84-0289 

October 2, 1984 84-0290 

October 16, 1984 84-0291 

DIRECTOR'S REPORTS: 

1. Police Department 
Reorganization 

2. Consultant for Service Station 

3. North Terminal Mobile Cart 
Lease 

4. Re-examining Charging Fare 
for Shuttle Busses 

5. Skycap Service 

ITEMS INITIATED BY COMMISSIONERS: 
POLICY REVIEW: 

6. Policies Adopted by the Commis- 
sion from July through December, 

1981 and October 2, 1984. 84-0292 

ITEMS RELATING TO ADMINISTRATION, 
OPERATIONS AND MAINTENANCE: 

7. Grant of Easement with 

South San Francisco 84-0293 

8. Authorization to Bid - 
Limousine Lease 



5-6,9 

6 

9-10 



3-5 



Minutes, November 6, 1984, Page 1 



Calendar 
Section 



Agenda 
Item 



Title 



Resolution 
Number 



Page 



H. 



I. 
J. 
K. 
L. 



9. Bid Call - Airport Contract 
No. 1607, Demolition of 
Buildings and Docks, 
North Field 

CONSENT CALENDAR OF ROUTINE 
ADMINISTRATIVE MATTERS: 

10. Resolution Approving Tutor- 
Saliba Corp. ' s Request to 
Substitute Glazing Sub- 
Contractor on Contract No. 
1410EF. No Additional Cost 

11. One-Year Time Extension - 
Airport Parking Manage- 
ment Contract 

12. Contract to Install location 
Reminders in the Garage 

13. Bid Call - Airport Contract 
No. 1585 - Emergency 
Security Fencing Repair 

14. Bid Call - Airport Contract 
No. 1573 - Concrete Divider, 
Boarding Area 'D' Tunnel 

15. Rental Credit for 
Lufthansa German Airlines 

COMMUNICATIONS: 

TRAILING CALENDAR: 

CLOSED SESSION: 

ADJOURNMENT: 



84-0294 



84-0295 

84-0296 
84-0297 

84-0298 



7,10 
7 

7-8 



84-0299 


8 


84-0300 


8 




8 




10 




10 




11 



Minutes, November 6, 1984, Page 2 



Minutes 

of the 

Airports Commission Meeting 

November 6, 1984 



A. CALL TO ORDER: 

The regular meeting of the Airports Commission was called to order at 
2:00 P.M., in Room 282, City Hall, San Francisco, Ca. 



B. ROLL CALL: 

Present: 

Absent: 



Commissioners William K. Coblentz, 
Ruth S. Kadish, Z. L. Goosby, 
J. Edward Fleishell. 

Commissioner Morris Bernstein 



C. ADOPTION OF MINUTES: 

The minutes of the following regular Airports Commission meetings were 
adopted by order of the Commission Vice President: 



No. 84-0289 
No. 84-0290 
No. 84-0291 



August 21, 1984 
October 2, 1984, and 
October 16, 1984 



The following item was called out of order and put over. 
G. ITEMS RELATING TO ADMINISTRATION, OPERATIONS AND MAINTENANCE: 
8. Authorization to Bid - Limousine Lease 



Resolution authorizing staff to hold a 
pre-bid conference based on proposed 
limousine lease specifications with 
revised affirmative action 
participation and bid the lease 
thereafter. 



Minutes, November 6, 1984, Page 3 



Mr. Lou Turpen, Airport Director, called on Ms. Angela Gittens, 
Deputy Director for Business and Finance, to review the limousine 
bid. He explained that the bid was postponed because of the City's 
new MBE ordinance. 

Ms. Gittens commented that the issue of minority participation for 
joint venture ownership is still not clarified. As of this time a 
joint venture, which is 51 percent minority, would not qualify for 
the 5 percent preference according to a preliminary City Attorney 
opinion. She said that the Human Rights Commission is reviewing it 
and they feel that by the time this is to go to bid they will have 
clarified the City Attorney's opinion. 

Commission Coblentz said he had seme serious reservations with regard 
to the 51 percent. 

Commissioner Coblentz asked Mr. Frank Todaro of Airport Limousine 
Service if he wished to address the Commission. 

Mr. Todaro felt that there were problems with the basic structure and 
layout of the bid. He thought there was going to be an opportixuty 
to meet with staff prior to this time. He said it would not be 
feasible from an operational or financial standpoint and had seme 
particular concerns about the financial structure of the bid and some 
of the assumptions that were made in terms of developing the minimum 
bid amount. He also had concerns about the normal profit margins in 
existence in the business and whether those margins can be maintained 
under the structure of the bid. 

Mr. Todaro presented a memo to the Commission (see attached. ) 

Mr. Todaro explained that the minimum bid is based on the amount of 
fees currently being paid to the Airport by the three tenants: 
Airport Limousine Service of Sunnyvale, Associated Limousine, and 
Goden State Limousine. He disagreed with the assumption that the 
revenue stream that those three companies are enjoying will remain 
with the company that wins the bid. He felt that it was a 
justification of the minimum rather than a reality and said that if 
his company does not win the bid they will take some of their 
customers with them when they go. He assumed that the same would be 
true of Associated Limousine. He concluded that the amount of 
revenue currently generated would be diminished by a minimum of 20 
percent and as a result the cost of operating the concession (minimum 
bid, structure in the parking lot for drivers and dispatcher, desk 
manning requirements) will be higher. 

Mr. Todaro explained that today a limousine company operating on a 
shared-ride basis can earn a pre-tax margin of three to five 
percent. He said that setting up a structure in the parking lot 
would run about $90,000 over a 36-month period, including the leasing 
of a mobile home, maintenance, telephone lines, the $100,000 minimum 
bid and the payroll. The profit margin would diminish to about 2 
percent maximum and that is assuming that no more than 20 percent of 
the revenue volume disappears from the concession. 

Mr. Todaro further explained that the shared-ride business generates 
about 80^ a mile whereas the charter business generates about $1.75 a 
mile. As a result of the low revenue per mile there are very few 
companies who will deal in a shared-ride business. 

Commissioner Coblentz said that Commissioner Fleishell raised the 
point that these concerns should be raised in the pre-bid 
conference. He said that the Commission is not in the position at 
this time to adopt a resolution. 



Minutes, November 6, 1984, Page 4 



Commissioner Fleishell said the function of the Commission is to deal 
with these matters after staff has put together a possible bid based 
on industry experience. He called for the item's removal from the 
calendar subject to being re-calendared after staff meets with the 
industry. 

Commissioner Goosby agreed with Commissioner Fleishell but explained 
that in the past staff has brought an item before the Commission 
prior to a pre-bid conference in order to obtain the Commission's 
suggestions or objections. He felt that this was an important part 
of the process. 

Commissioner Kadish agreed with Commissioner Goosby and suggested 
that in such instances staff not include a resolution for adoption. 

Commissioner Coblentz asked Robert Oziel of Associated Limousine and 
Eloise Brown of Golden State Limousine if they still wished to 
address the Commission. 

Mr. Oziel asked who drafted the resolution. 

Commissioner Coblentz responded that staff drafted the resolution. 

Mr. Turpen explained that there would be a pre-bid conference to 
solicit input on the proposed specifications. This item came before 
the Commission as a result of the impact of ordinances adopted by the 
Board of Supervisors on this potential lease. 

Mr. Turpen suggested that any information intended to be presented to 
the Commission today be presented to the Commission Secretary for 
inclusion into the file and distribution to the Commission. 



D. DIRECTOR'S REPORTS: 

The following items were put over without discussion. 

1. Police Department Reorganization - Oral Report 

2. Consultant for Service Station - Oral Report 

Mr. Turpen said Airport staff is presently meeting with Ed Plant's 
staff and he hopes to have a report for the Commission at the next 
meeting. 

3. North Terminal Mobile Cart Lease 

Mr. Turpen said that Commissioner Bernstein asked that this item be 
put over so that he could be present for the discussion. 

The following Director's Reports were heard by the Commission: 

4. Re-examining Charging Fare for Shuttle Busses. 



Minutes, November 6, 1984, Page 5 



Mr. Turpen said that Canmissicner Bernstein had told him that he was 
satisfied with the report and indicated that he would follow the lead 
of the Commission in this matter. Mr. Turpen recommended continuing 
with the existing system. 

The Commission had no objections. 



5. Skycap Service 

Pursuant to Commissioner Bernstein's 
request, a survey was conducted on the 
skycap service provided by the 
airlines. 

Mr. Turpen said formal and informal surveys were made of skycaps and 
it was found that one company was not meeting the Airport's rules and 
regulations with respect to skycap service. Mr. Turpen said that the 
Commission has been given a letter from that company committing to do 
so. No-notice follow ups will be performed to insure that the 
Airport's rules with respect to skycap service are being followed. 
He said that he discussed this with Commissioner Bernstein and he is 
satisfied. 



G. ITEMS RELATING TO ADMINISTRATION, OPERATIONS AND MAINTENANCE: 

The following items were unanimously adopted. 

7. Grant of Easement with South San Francisco 

No. 84-0293 Resolution approving the negotiated 

Grant of Easement with South San 
Francisco, and authorizing the 
Director of Airports to secure 
approval of the Board of Supervisors 
and execute the Grant of Easement as 
required . 



9. Bid Call - Airport Contract No. 1607 

Demolition of Buildings and Docks, North Field 

No. 84-0294 Resolution approving the scope, budget 

and schedule for Airport Contract No. 
1607 and authorizing the Director of 
Airports to call for bids when ready. 
The work consists of demolishing the 
old structures and docks around the 
Flying Tigers hangar. 

Contract time is 90 calendar days. 



Minutes, November 6, 1984, Page 6 



H. CONSENT CALENDAR OF ROINTINE ACMINISTRATIVE MATTERS: 

The following items were unanimously adopted. 

10. Resolution Approving Tutor-Saliba Corporation's Request to Substitute 
Glazing Subcontractor on Contract No. 1410EF. No additional cost. 

No. 84-0295 Tutor-Saliba Corporation has requested 

to substitute Foreman, Ford & Company 
for Olson Glass Company on Airport 
contract 1410EF (South Terminal 
Renovation, Phase II) providing the 
same materials and services at no 
additional cost to the Airport. 



The following item was put over to the end of the meeting. 

11. One-Year Time Extension, Airport Parking Management Contract 

Resolution approving a one-year 
extension of the management contract 
with APM to operate the Airport's 
parking facilities from December 1, 
1984 to November 30, 1985. This is 
the fourth and last of four (4) 
one-year time extension options under 
Section 9 of the original contract. 

Commissioner Kadish requested that the Commission receive the plans 
for the bid in 6 months. 

Mr. Turpen said the Commission will have it in January. 

Commissioner Coblentz asked if this was an option for the Commission 
or did they have to renew. 

Mr. Don Garibaldi, Airport's General Counsel, responded that it was 
an option. 

Commissioner Coblentz asked that the item be put over to closed 
session. 



The following items were unanimously adopted. 

12. Contract to Install Location Reminders in the Garage 

No. 84-0297 Resolution authorizing Airport staff 

to prepare a contract for installation 
of "location reminder" equipment in 
all elevator cores of the garage 
structure. 



13. Bid Call - Airport Contract No. 1585 
Emergency Security Fencing Repair 

No. 84-0298 Resolution approving the scope, budget 



Minutes, November 6, 1984, Page 7 



and schedule for Contract No. 1585 and 
authorizing the Director of Airports 
to call for bids when ready. The 
purpose of the contract is to provide 
for security fence repair on an 
as-needed basis. 

The contract is for one year. 



14. Bid Call - Airport Contract No. 1573 

Concrete Divider, Boarding Area 'D' Tunnel 

No. 84-0299 Resolution approving the scope, budget 

and schedule for Contract No. 1573 and 
authorizing the Director of Airports 
to call for bids when ready. The work 
consists of constructing concrete 
median barriers on the service road 
under Boarding Area 'D' . 

Contract time is 30 calendar days. 



15. Rental Credit for Lufthansa German Airlines 

No. 84-0300 Resolution approving rental credit for 

Lufthansa German Airlines for Airport 
work performed by Lufthansa in the 
International Terminal. - $1,400.00. 



I. COMMUNICATIONS: 

There was no discussion by the Commission. 



F. POLICY REVIEW: 

The following item was adopted by the Commission as amended. 

6. Policies Adopted by the Commission from July through December, 1981 
and October 2, 1984. 

No. 84-0292 

Commissioner Kadish asked that the policy on plant maintenance 
specify that it refers to green, living plants. 



Minutes, November 6, 1984, Page 8 



D. DIRECTOR'S REPORTS: 

Commissioner Goosby referred back to the following item. 

4. Re-examining Charging Fare for Shuttle Busses 

Commissioner Goosby assumed that this was merely an informational 
report and that the recommendation was that no action be taken at 
this time and that there be no charge. 

Mr. Turpen responded that to his recollection Dallas/Fort Worth is 
the only airport that charges. Studies have been made each year for 
the past three or four years and each year staff has recommended that 
the revenues which support the shuttle bus operation be collected 
from the parking arrangement and not on an individual basis on the 
bus. 

Commissioner Coblentz asked how our employee parking rates compare 
with other airports. He said we might consider raising the rates. 

Mr. Turpen said that this report has demonstrated a significant 
employee rider ship and staff is taking a look at adjusting that rate 
as well as establishing a Commission policy whereby the rate would be 
automatically adjusted with sane type of measure. 



E. ITEMS INITIATED BY COMMISSIONERS: 

Commissioner Flei shell asked what the Airport could do to encourage faster 
airline delivery of luggage. 

Mr. Turpen responded that he would take a look at it and report back at 
the first meeting in December. 



Commissioner Flei shell said other airports have recently had the FAA take 
steps to alleviate congestion and SFO should do something about its 
congestion before the FAA steps in. 

Mr. Turpen responded that according to FAA statistics almost 75 percent of 
all delays, characterized by 15 minutes or more, occurred at the six 
airports to which Commissioner Fleishell referred. Mr. Turpen said that 
the tower statistics showed SFO having a total of 27 delays for the month 
of July during which time a maintenance program was in progress, compared 
with 15 a year ago. He said delays have not been a problem. 

Commissioner Fleishell disagreed and told Mr. Turpen to check with 
Mexicana or any other airline that has a 9:00 a.m. flight. 

Commissioner Kadish said she was told that a delay could be dependant on 
your destination, explaining that if you are flying to the East Coast, the 
Washington and New York airports are so crowded your departure will depend 
on the landing time based on the prevailing winds. 

Commissioner Fleishell said planes are now held at the gate rather than 
the runway but FAA statistics show SFO just two airports below the cut and 
he did not feel staff should wait to take remedial action. 



Minutes, November 6, 1984, Page 9 



Commissioner Kadish noted that there is no one in the baggage claim areas 
checking baggage claim check stubs. 

Commissioner Goosby said that skycaps used to check baggage claim checks 
but have not done so for years. 

Commissioner Flei shell responded that that was part of the airline cutback. 

Ccmmissicner Kadish said it was up to the Airport to require this be done 
but suggested that there be a study to determine if there was a need for 
this type of security. 

Mr. Turpen said he would take a look at it. 



J. TRAILING CALENDAR: 

There was no discussion of trailing calendar items. 



K. CLOSED SESSION: 

The meeting adjourned at 2:20 P.M. to go into closed session and 
reconvened at 3:20 P.M. 



H. CONSENT CALENDAR OF ROUTINE ADMINISTRATIVE MATTERS: 

The following item was unanimously adopted. 

11. One-Year Time Extension, Airport Parking Management Contract 

No. 84-0296 Resolution approving a one-year 

extension of the management contract 
with APM to operate the Airport's 
parking facilities from December 1, 
1984 to November 30, 1985. This is 
the fourth and last of four (4) 
one-year time extension options under 
Section 9 of the original contract. 



Minutes, November 6, 1984, Page 10 



L. ADJOURNMENT: 

There being no further calendared business before the Commission the 
meeting adjourned at 3:25 P.M. 



CL A r, 

Jepn Caramatti 
/Commission Secretary 



Minutes, November 6, 1984, Page 11 



MEMORANDUM 
Novemher 2, 1984 



TO: MEMBERS, AIRPORTS COMMISSION 

Hon. Morris Bernstein, President 

Hon. William K. Coblentz, Vice President 

Hon. Ruth S. Kadish 

Hon. Z.L. Goosby 

Hon. J. Edward Fleishell 

F"OM: Frank J. Todaro, President 

Airport Limousine Service of Sunnyvale, Inc. 

SUBJECT: Limousine Lease Bid 



As professtional in the limousine business and a current lessee of the San 
Francisco International Airport limousine booth concession, I respectfullv 
submit the following comments as to why I feel that the proposed bid for the 
SFIA limousine lease is poorly structured and will not result in improvements 
in quality of service to the public, nor promote operating efficiency for 
the company that wins the award. My concerns lie in three areas: (1) lack of 
economic feasibility, (2) operational difficulties, and (3) unrealistic affirm- 
ative action goals. 

I. Lack of Economic Feasibility : 

The limousine industry nationwide and within the San Francisco Bay Area 
consists of a large number of small scale operators ( 4 vehicles or less) , 
99% of which offer private or "charter" limousine services as opposed to 
"shared-ride" services. In fact, shared-ride transportation services to and 
from all major United States airports excepting those located in San Francisco 
and Chicago, are performed in vans rather than limousines. Limousines are 
used for charter services only, and this includes the cities of New York and 
Los Angeles, the two largest limousine markets in the country. The reason 
for this mode of operation is the fact that shared-ride revenues per mile 
are extremely low compared to charter revenues per mile ( approximately 80C 
v. S 1.75) , and the cost of operating a limousine is extremely high (capital 
costs range from $ 36,000 to $ 50,000 v. $ 18,000 for a van) 

•In the San Francisco Bay Area only two limousine companies offer shared-ride 
services to and from the San Francisco airport, Airport Limousine Service and 
Golden State Limousine, and neither of these companies serve the city of San 
Francisco, an area required to be served on a shared-ride basis in the bid. 
The reason that shared-ride work is not performed in the city of San Francisco, 
even by Associated Limousines, a company licensed to do so, is the fact that 
the average trip distance is too short to generate adequate revenues to cover 
fixed operating costs. Services from SFIA to outlying counties (Contra Costa, 
Santa Clara) are performed on a shared-ride basis because the trip distance 
is long enough to provi.de a minimal profit. Example: 

Shared ride price :SFTA to San Francisco: $ 7 per person 
'shared ride price :SFTA to San Jose: 36 per person 

The $29 difference in price contributes more money to cover fixed costs of 



TO: MEMBERS, AIRPORTS COMMISSION 

I'l "'I "I* 111 I' III 



•Mil, 



I I .Mil'. Ili'UI M, |'l I'MlllMll 

Airprot Limousine Service of Sunnyvale, Inc. 



SUBJECT: Limousine Lease Rid 
Page 2 

operation (reservations, dispatching, accounting. etc.). 

The profit margins before tax for the two companies operating shared-ride 
limousine services to and from the San Francisco airport average from 3% 
to 5% under the cost structure of the current limousine booth concession. 
Very slim profit margins at best! With the proposed bid, those profit margins 
will fall to approximately 2%, making the lease a very marginal operation 
economically. The limousine profit margins will fall under the proposed bid 
for the following reasons: 

1. The minimum bid amount is the amount currently paid to the airport 
by the three companies who operate the limousine booth concession 
(Airport Limousine, Golden State Limousine, Associated Limousines) . 
The minimum bid assumes that the revenues currently being generated 
through the airport business of the three companies will be enjoyed 
by the winner of the bid. However, whichever of the three companies 
currently operating the limousine conecssion that is not the winner 
of the bin- will take some of its airport business away from the bid 
winner. Therefore, the revenues available to the bid winner will not 
be equal to the revenues being generated bv the companies operating 
the limousine concession today. I assume that the bid winner will 
conservatively lose 20% of the revenues that exist today. 

2. The dispatching and driver rest structure required by the bid to be 
set up in the limousine staging area will cost at least $ 90,000 to 
purchase (assuming that a trailer or small "mobile home" large enough 
to accomodate drivers and dispatchers is purchased) , maintain, and 
operate with complete telephone services over the 36 month duration of 
the limousine lease contract. 

3. The limousine booth employee coverage requirement ofM.6 hours per day 
in each terminal will cost more than today, primarily because the 
desk will have to be covered in non-peak traffic hours in addition to 
being covered with more than one employee during peak traffic hours. 
Today, coverage can be confined to peak traffic hours with customers 
using the telephones during non-peak traffic hours. 

My estimate of the economic impact of the bid on the operator /lessee is the 
following financially difficult situation: 



TO: 
FROM: 

SUBJECT: 
Page 3 



MEMBERS, AIRPORTS COMMISSION 

Frank Todaro, President 

Airport Limousine Service of Sunnyvale, Inc. 

Limousine Lease Bid 



PROFIT MODEL: SAN FRANCISCO AIRPORT LIMOUSINE BUSINESS 



Today's Structure 



Proposed Bid 



Revenue estimate: 6 counties (annual) 
Expenses : 

Cost of i transporation 

Cost of sales 

Administrative expenses 

Dispatoh & driver management 

Airport concession 

Facility in limo staging lot 

Pre-tax profit 



* Assumes 20% volume loss to existing airport tenants who 
lose the bid. 
** Assumes that sales costs are maintained at 18% of revenues, 
which may not be true due to fixed element of having to 
employ a minimum number of people at airport desks and in 
reservation center. 



$ 3,500,000 


100% $ 


2 


,800,000* 


100% 


2,170,000 


62% 


1 


,736,000 


62% 


630,000 


18% 




504,000** 


18% 


315,000 


9% 




315,000 


11% 


175.000 


5% 




175,000 


6% 


100,000 


3% 




100,000 
30,000 

60,000 


4% 
1% 


110,000 


3+% 


2% 



If these estimates, which are based on public information on file with the 
California Public Utilities Commission, are inaccurate in terms of operating 
expenses by 1 or 2 percent, yon can see that the result of the bid can be either 
very marginal or disasterous. 

II. Operational Difficulties: 

I believe that the following operational difficulties will exist under 
the proposed bid;. 

1. In addition to staffing reasons, costs of operating the limousine 
booths will rise due to the lessee having to provide a facility to 
check-in and che<~k-out all off airport operators meeting customers 
at the terminal aates. This wonld mean hundreds of check-in and 
check -outs each week, aiven the fact that there are several hundred 
off airport limousine companies in the San Francisco Bay Area. 

2. Given the low profit margins in shared-ride limousine work and the 
low profits available to the bid winner, there will be an inducement 

for drivers of the bid winner to "pirate" the lucrative charter customers 
of the off airport operators, in the event that the off airport operator 
misses his/her passenger at the gate due to traffic congestion, and the 



TO: 
FROM: 

SUBJECT : 
Page 4 



MEMBERS, AIRPORTS COMMISSION 

Frank Todaro. President. 

Airport Limousine Service of Sunnyvale, Inc. 

Limousine Lease Bid 



passenger goes to the limou<=infi desk to make contact with the off airport 
operator. 

Effective operation of a limousine business requires that dispatchers 
remain physically separated from drivers, to prevent drivers from e>xerting 
pressure on dispatchers to favor them with trip assignments. The bid 
requirement of a separate structure in the limousine staging area to be 
used for both dispatching and driver rest will make this necessary phvsical 
separation impossible. 

Since no one operator has both the PUC authority and the vehicle fleet size 
to perform under the bid, a joint, venutre is likely. However, experience in 
the San Francisco airport has shown that limousine drivers from one company 
do not co-operate effectively with drivers from another company. The current 
situation in the airport, though not ideal, is one in which the three companies 
operating the limousine* desks have learned to co-operate to a reasonable degree. 
This degree o? co-operation exists because each company is run autonomously. 
Once a joint venture is pained in a position of performing common dispatching 
of drivers and assigning trips to drivers of different companies, I believe 
that cries of favoratism and unfairness will be common, and the airport will 
experience more problems with the limousine lease than it ever faced in the past. 

The problem of limousine "pirates" will continue to exist after the bid, 
as it does today, primarily due to the fact that the airport police force 
is not large enough to police every area of the airport on a constant basis. 
Pirates operate primarily in the evening, and do so by either intimidating 
or bribing and employee/representative who is covering the limousine booth. 
Despite the fact that there is an I.D. badqe required of every person standing 
at a limousine booth, the airport police, who do an excellent job, can only 
be spread so thin. I do not believe that requiring th^ limousine booth 
employee to wear a uniform with improve this situation. P.ather, if a. 
limousine company employee is caught takinq a bribe from a pirate, he or she 
needs to be repalced, and if an employee is intimidated by a pirate>, he or 
she needs to inform the airport police. 



III. Affirmative Action Goals: 

Currently, there is only one company in a position to bid which is owned 
by a minority or woman. The fact is that the limousine industry contains a 
larqe number of minority owner limousine companies consisting of 2 vehicles or less. 
However, all large companies in a position to hid. excepting Golden State Limousine, 
are owned by non-minorities, and most of their drivers are non-minor itv (mv estimate 
is 75%). If the affirmative action goals of the bid are not made more realistic, ther« 
will be no qualified bidders other than Golden State, unless other limousine companies 
replaced 25% or more of their experienced owner/operators with minority owner/oper- 
ators, and required the driver owner/operators to purchase the majority of the 



TO: 
FROM: 

SUBJECT: 
Page 5 



MEMBERS, AJRPORTS COMMISSION 

Frank Todaro, President 

Airport Limousine Service of Sunnyvale, Inc. 

Limousine Lease Bid 



the company. This seems highly unfair to the veteran drivers who will be 
terminated from their jobs after years of service, and rather unlikely that owners 
will appreciate being forced to sell their companies to their drivers to meet 
affirmative action goals. I believe that a more realistic affirmative action 
goal can be established and met, in light of the fact that approximately 25% 
of the limousine driver owner/operators of the companies large enough to bid 
are minorities. 




Frank J. Todaro 



cc; L.A. Turpen, Director of Airports 



SAN FRANCISCO 
AIRPORTS COMMISSION 




DOCUMENTS DEPT. 
FEB 81 1985 

SAN FRANCISCO 
piiQl ir | ipqapv 



MINUTES 



NOVEMBER 20, 1984 



DIANNE FEINSTEIN, MAYOR 

COMMISSIONERS 

MORRIS BERNSTEIN 

President 

WILLIAM K. COBLENTZ 

Vice-President 

DR. Z.L. GOOSBY 

J. EDWARD FLEISHELL 

ATHENA TSOUGARAKIS 



LOUIS A.TURPEN 

Director of Airports 



San Francisco International Airport 
San Francisco, California 94128 



Index 

of the Minutes 

Airports Commission 

November 20, 1984 



Calendar 


Agenda 


Section 


Item 


A. 




B. 




C. 




D. 






1. 




2. 




3. 


E. 




F. 





G. 



5. 



6. 



7. 



8. 



Title 

CALL TO OREER: 

ROLL CALL: 

ANNOUNCEMENT BY SECRETARY: 

DIRECTOR'S REPORTS: 

Consultant for Service Station 

North Terminal Mobile Cart Lease 

Report on 1-380 Highway Con- 
struction Project 

ITEMS INITIATED BY COMMISSIONERS: 

ITEMS RELATIN3 TO ADMINISTRATION, 
OPERATIONS AND MAINTENANCE: 

Airport Motor Coach Service 
Agreement - Authorization to Bid 

$20,843,599 Supplemental Appro- 
priation for Capital Projects 

Award of Airport Contract 
No. 1572-Area and Security 
Lighting at Water Quality 
Control Plant, $75,254.00 

Award of Contract No. 1410A-2, 
South Terminal Graphics 

CONSENT CALENDAR OF ROUTINE 
ADMINISTRATIVE MATTERS: 

Approval of Modifications to 
Sublease between Trans World 
Airlines, Inc. and South- 
west Airlines, Inc. 



Resolution 
Number 



84-0302 



84-0303 



84-0304 



Page 

3 
3 

3 

3^ 
4-6 

6-7 
7 



8, 9-28 
8 



84-0305 



Minutes, November 20, 1984, Page 1 



Calendar 
Section 



Agenda 
Item 



Title 



Resolution 

Number 



Page 



H. 
I. 
K. 



9. Statistical Adjustments for 

1984-85 Joint Use Billings 
under New Lease and Use 
Agreement 

CORIESPONDENCE: 

TEA.ILIN3 CALENDAR: 

ADJOURNMENT TO GO INTO CLOSED 
SESSION: 



84-0306 



9 
29 
29 

29 



Minutes, November 20, 1984, Page 2 



Minutes 

of the 

Airports Commission Meeting 

November 20, 1984 



GALL TO OREER: 

The regular meeting of the Airports Commission was called to order at 
2:00 P.M., in Room 282, City Hall, San Francisco, Ca. 



B. ROLL CALL: 

Present : 



Commissioners Morris Bernstein, 
William K. Coblentz, Ruth S. Kadish, 
Z. L. Goosby, J. Edward Fleishell. 



ANNOUNCEMENT BY SECRETARY: 



In accordance with the Brown Act, 
Section 54957.1, Jean Caramatti, 
Commission Secretary, announced 
unanimous adoption of Resolution 
84-0301 regarding the settlement of 
litigated claim at the meeting of 
November 6, 1984. 



D. DIRECTOR'S REPORTS: 

1. Consultant for Service Station - Oral Report 

Mr. Turpen, Airport Director, said staff has been discussing with Ed 
Plant the possibility of gaining their assistance in the upcoming bid 
for the on-Airport service station. As a result of those 
conversations Mr. Reed Redwine, of Mr. Plant's staff, has agreed to 
assist the Airport on a consulting basis. His involvement will 
include a review of what the Airport staff has accomplished to date 
with any suggestions as to changes to the specifications; and, 
developing a marketing plan for Airport staff to generate interest 
among eligible bidders and attendance at certain meetings to assist 
Airport staff in the evaluation. Mr. Redwine' s services will require 
a personal services contract in the amount of $10,000.00. The Civil 
Service Commission has already approved that amount. Mr. Turpen 
explained that at the Commission's direction he was bringing this 
matter before them to review the cost prior to proceeding. 



Minutes, November 20, 1984, Page 3 



Commissioner Fleishell asked if any other company was approached. 

Mr. Turpen responded that other companies were approached however Mr. 
Plant's organization, specifically Mr. Redwine, was the only person 
who had particular knowledge and understanding of the industry or 
showed any interest. 

Angela Gittens commented that Mr. Redwine is the only individual with 
a background in service stations. 

Commissioner Kadish asked to know specifically what the Airport will 
get for that sum of money. 

Mr. Turpen responded that there will be a review of the 
specifications that were previously presented to the Airports 
Commission, an outline of criteria for the selection of eligible 
bidders, a marketing plan outlining what the staff can do to generate 
interest among the eligible bidders, attendance at the pre-bid 
conference, after the pre-bid conference written suggestions as to 
final changes and recommendations to the lease specs, assisting and 
reviewing the prequalif ication of bidders if prequalif ication is 
determined to be necessary and attendance at the Commission meeting 
to answer any questions the Commission might have at the time that we 
decide to either award or reject bids. 

Commissioner Kadish asked if that was a not-to-exceed figure. 

Mr. Turpen responded that it was. 

Commissioner Fleishell felt it was a lot of money for what the 
Airport would be getting. 

Mr. Turpen said that at this point the Commission really has two 
options: to continue with this scenario or to direct the staff to go 
ahead and bid the lease as proposed and possibly hold this scenario 
in abeyance in case we don't get the type of interest that we need. 
Having secured outside assistance and having obtained a cost the 
Commission must now decide if the expenditure is reasonable and, if 
it is not, would they prefer to have staff move forward on their own 
to see what they can do. Should that not generate sufficient 
interest then Mr. Redwine' s assistance could be an alternate option. 

Commissioner Bernstein said that if Mr. Redwine was successful in 
coming up with an excellent lease it could be a bargain, but if he' s 
just going to put in an appearance and put an ad in the paper and 
interview a few people then it is not a bargain. He asked for the 
outline of the services in writing. 

Mr. Turpen responded that he would send the information to the 
Commission and suggested putting the item over for final disposition 
at the next meeting. 

Commissioner Kadish asked if it is possible to negotiate the contract 
on a not-to-exceed figure based on an hourly fee. 

Mr. Turpen responded that it can be approached. 



2. North Terminal Mobile Cart Lease - Oral Report 

Mr. Turpen said the Commission asked staff to take a look at what 
type of concession activity we might incorporate in a cart located 
just outside the ice cream-cookie parlor at the entrance to Boarding 
Area E. 



Minutes, November 20, 1964, Page 4 



He said that the report indicates possible leasehold options and 
criteria used by staff, namely: merchandise not generally offered by 
nearby retailers, non-perishable goods suitable for a cart, items 
available at reasonable cost, and, goods attractive to the traveling 
public. Staff is recommending a magic and puzzle games type of 
concession, however, other ideas have been outlined as well as our 
rationale for not recommending those at this time. Staff's 
recommendation can be pursued or any alternate concession concept 
that the Commission desires. 

Commissioner Goosby asked if staff has checked with other Airports 
regarding puzzle/game concessions. 

Ms. Gittens responded that staff has not checked. 

Commissioner Goosby said that he knew there has not been a pre-bid 
conference but asked if staff has made any determination as to 
outside interest. 

Ms. Gittens responded that there has not been anything formal. She 
said staff has had some indication that small business enterprise 
might be interested in developing such a concept. 

Mr. Turpen said that there are several alternatives outlined and 
staff is prepared to move on any of those which the Commission feels 
might be more viable in that location. He mentioned a flower stand, 
greeting cards, stuffed animals, chocolates and truffles, native 
artifacts and magic and puzzles. He said staff tried to pick 
something that wouldn't conflict with other concessions in the area. 
One of the things that we looked at was a candy and truffles cart, 
but there is the ice cream parlor-cookie shop right next door and 
that within a one-hundred foot area there are two concessions that 
sell truffles. 

Mr. Turpen said he would defer to the Commission's expertise in this 
matter, but his feeling was that having that many concessions 
offering sweets might be counter-productive. 

Commissioner Bernstein asked how much business does staff think 
puzzles and magic will do? 

Mr. Turpen responded that he did not know that any business plan or 
business forecast has been made. 

Commissioner Bernstein said that is what determines your rent. 

Mr. Turpen said that staff could do some type of marketing survey of 
passengers going down Boarding Area E. 

Commissioner Bernstein said he would like to go down there with Mr. 
Turpen and a staff member and suggested that the item be put over 
until that time. 

Commissioner Goosby appreciated the breakdown and the evaluation of 
the various possibilities. He was not certain how anticipated 
revenues could be determined from a passenger survey. 



Minutes, November 20, 1984, Page 5 



Mr. Turpen responded that he would not have a high degree of 
confidence in that type of survey. Staff looked for an area in the 
market that wasn't being satisfied by concessions, typically, for 
passengers taking domestic flights, especially down that concourse 
where there is a lot of east/west traffic from Delta and American. 
It was felt that a small games/puzzle type concession might be 
attractive to passengers traveling with children or as a small gift. 
Staff would not proceed in the absence of interest but we have a 
feeling that there might be. It is simply an idea that seemed to 
have some merit. 

Commissioner Goosby said that according to Ms. Gittens 1 last figures 
there are concessions in the North Terminal that are operating at the 
minimum guarantee level. He did not want to provide further 
conpetition for those concessions. He asked what the gross on candy 
was and the affect on current concessions a more convenient stand 
would have. 

Commissioner Kadish said she was not adverse to pursuing this, 
however, if Mr. Bernstein wishes to do his own survey with Mr. Turpen 
that would be fine. 

Commissioner Coblentz suggested the item be put over and agreed with 
Dr. Goosby that we have a responsibility, if not an obligation, to 
those people to whom we have given franchises in the Airport not to 
dilute their business, at least in the proximaty of where they do 
business. He said that we are not giving them a monopoly, but on the 
other hand, we have that responsibility. 

Mr. Turpen said the item will be brought back to the Commission after 
he and Commissioner Bernstein have had an opportunity to take a look 
at the location. 

Commissioner Fleishell commented that this situation is analagous to 
the game room situation we had a year and a half ago. He said that 
games were very fashionable and people were beating down the doors to 
put a game room in the Airport. The winner, Atari, would now like to 
bail out. He felt that the present preoccupation with games may very 
well die within the next 7, 8 or 9 months and some concessionaire 
will have invested his life savings in a business that has turned out 
to be just a fad. He suggested staff move very cautiously. 

Commissioner Bernstein agreed with Commissioner Fleishell. 

Mr. Turpen said that the alternative was to do it on a trial basis. 



3. Report on 1-380 Highway Construction Project 

Progress report done on the 1-380 
Highway Construction program - 
(Airport Interchange, Northbound 
Viaduct and North Access Road 
Interchange.) 

Mr. Turpen said that Cal Trans started the project in August, 1984 
and that the project has had very little disruption to Airport 
traffic. He explained that two phases are presently being 
accomplished, one at the 1-380 connection to the Airport and the 



Minutes, November 20, 1984, Page 6 



second is some modification to the existing interchange to pave the 
way for smooth traffic flow as construction begins. He reminded the 
Commission of the environmental study which is going on on the City's 
West of Bayshore property. He said that the environmental study was 
for a period of two years with a one-year option solely at the 
Commission's discretion. Staff has been advised by Cal Trans and 
the Federal Wildlife Commission that they will solicit the Commission 
for that optional year to conclude their study of the San Francisco 
Garter Snake which is an endangered species on the property. 

Commissioner Goosby asked if we had to wait for them to finish that 
study before we do our Land Use Study. 

Mr. Turpen responded that as long as the land is not physically 
impacted there is no prohibition against the City doing any studies 
with respect to the land. He said that the fact that the Commission 
has allowed this study to take place will accelerate any 
environmental review on any proposed utilization of that property in 
the future. So what we have done is concurrently run a study which 
was going to be required anyway and save three years in the process. 



ITEMS INITIATED BY COMMISSIONERS : 

Commissioner Goosby asked for a report on the status of the Land Use Study 
at the next meeting. He said it was his understanding that Mr. Friedman 
and Jason Yuen are looking at it. 

Mr. Turpen responded that Mr. Yuen will be back by the next meeting and 
will give the Commission an update. 

Commissioner Goosby asked for an idea as to when they think it will be 
ready to put out. 



Commissioner Fleishell said that we attempted to have the Attorney General 
intervene in the Town of Hallie Case in the U.S. Supreme Court and filed 
an amicus brief on behalf of the State of California. The cable t.v. 
industry and the trash collection industry, dealing through Commissioner 
Coblentz and Commissioner Fleishell respectively, have written letters to 
the Attorney General's office, copies of which were sent to Mr. Agnost. 
He hoped that something will be done. 



Commissioner Fleishell asked Mr. Turpen what happened to the Flying 
Tiger's request for a lease. He said they have written and you have 
responded and they called him wondering what was causing the delay. They 
asked if they're going to get the lease, why isn't the Airport moving 
ahead? If not, why aren' t they told? 

Mr. Turpen responded that he prefered at this point to delay responding 
because there are some matters that may be coming up of a legal nature. 



Minutes, November 20, 1984, Page 7 



F. ITEMS RELATING TO ADMINIST RATION, OPERATIONS AND MAINTENANCE: 
Item 4 was put over to the end of the calendar. 



The following items were unanimously adopted. 
5. 820,843,599 Supplemental Appropriation for Capital Projects. 



No. 84-0302 



Resolution approving request to Mayor 
and Beard of Supervisors for a 
$20,843,599 supplemental appropriation 
from Unappropriated Surplus to fund 
Airport capital projects. 



Award of Airport Contract No. 1572 

Area and Security Lighting at Water Quality Control Plant - $75,254.00 



No. 84-0303 



Resolution awarding Contract No. 1572 
to Coast Electric Company, 2490 
Middlefield Road, Redwood City, 
CA 94063, in the amount of 
$75,254.00. Base Bid and Alternate 
'A' . 



7. Award of Contract No. 1410A-2, 
South Terminal Graphics 

No. 84-0304 



Resolution awarding Contract 1410A-2, 
South Terminal Graphics, to Pischoff 
Company in the total amount of 
$107,446.46. Budget for this work is 
$250,000. Two bids were received on 
October 3, 1984: 



Contractor 

Pischoff Company 
Thomas-Swan Sign Co. 



Total Base Bid 

$107,446.46 
$108,000.00 



CONSENT CALENDAR OF ROUTINE ADMINISTRATIVE MATTERS: 
The following items were unanimously adopted. 



8. Approval of Modification to Sublease between Trans World Airlines, 
Inc. and Southwest Airlines, Inc. 



No. 84-0305 



Resolution approving the Amendment and 
Extension Agreement to Sublease 
between Trans World Airlines, Inc. and 
Southwest Airlines, Inc. for certain 
South Terminal premises. 



Minutes, November 20, 1984, Page 8 



9. Statistical Adjustments for 1984-85 Joint Use Billings under New 
Lease and Use Agreement 

No. 84-0306 Resolution adjusting 1984-85 Joint Use 

Billings pursuant to Section 101.W of 
the New Airline Airport Lease and Use 
Agreement for Piedmont Airlines. 



F. ITEMS RELATING TO ADMINIST RATION, OPERATIONS AND MAINTENANCE: 

The following is a verbatim transcript of the discussion of Item 4. This 
item was put o\«r. 

4. Airport Motor Coach Service Agreement - Authorization to Bid 

Resolution approving contract 
documents for Airport Motor Coach 
Service Agreement and authorization to 
bid. 

Mr. Turpen: Item 4, members of the Airports Commission, is the 
Airport Motor Coach Service Agreement. This is an authorization for 
staff to bid the Motor Coach Service Agreement. We' ve been to the 
Commission on several occasions with the gpecif ications on this 
Agreement. Essentially it's a five year term with a single five-year 
option in the Commission. Preferential status extended to the 
successful bidder and a fixed-stop location within a defined boundary 
within the city limits of San Francisco. The bid item will be the 
deplaning passenger multiplier and a minimum annual guarantee of 
$400,000. I know the Commission has repeatedly reviewed these 
qpecif ications and would make the floor available for anyone who 
wanted to comment to this item. 

Commissioner Kadish: Yes, I'd like to ask one question, Lou, if I 
may. Mr. Chairman? 

Commissioner Bernstein: Yes, go ahead. 

Commissioner Kadish: I note that the specs say that there shall be 
at least twelve large busses. What are the current number of busses 
that are in use? 

Steve Leonoudakis, SFO Airporter: Thirty-one. 

Commissioner Kadish: Thank you. Thirty-one. On what basis was the 
selection of number twelve made and how does that coincide with the 
further gpecif ication in those specs that there shall be first class 
service. In other words if we currently have thirty-one why do we 
have twelve. Will that give us first class service? That's question 
number one. 2. What would be the time factor involved in increasing 
the number should more than 12 be necessary and would 



Minutes, November 20, 1984, Page 9 



there be a diminution of first class service while that was being 
affected. My third question has to do with something which we 
discussed at a previous meeting in which we spoke not of having not 
large 45-seat busses, but rather mini busses. Those are my three 
questions. 

Mr. Turpen: I'd like Sheldon to comment on the number of busses. As 
far as the mini busses, Commissioner Kadish, 1 believe that in here 
you'll find that the Director (interuppted by Comm. Kadish) 

Commissioner Kadish: Oh yes, that's why my second question. 

Sheldon Fein, Landside Operations: Under the contract we were, at 
peak periods, requiring bus service once every ten minutes. In order 
to run the busses into the City on a ten minute headway and to 
provide enough busses for maintenance and so forth we came up with 
the number of 12 busses. It depends again and the operator can put 
on more busses and decide to run service to various areas of the 
City. We were primarily serving the downtown area on a ten-minute 
headway figuring that you'd have 10 out of the 12 busses in operation 
at one time with two being in maintenance. This would give you about 
a hour and a half for a bus to make a round trip or roughly 100 
minutes; a little more than an hour and a half. That's how the 
number of 12 is basically arrived at. 

Commissioner Goosby: You have 15 -minute headways. 

Sheldon Fein: It's 15-minutes headways between, excuse me. Okay. 
It was 15-minute headways. Right now the busses run during peak 
periods at a little closer headways in the \«ry heart of the day. 
But with the maintenance and so forth we thought that the 12 busses 
would be adequate to serve. 

Commissioner Goosby: With the 15-minute headways you figure that 
that would be adequate. 

Sheldon Fein: The 15-minute headway means that the bus only has to 
make a round trip about once every two hours rather than the hour and 
a half. 
Commissioner Kadish: What about the other factor, the mini busses? 

Sheldon Fein: Really, for the efficiency of the operation during the 
major portion of the day when it's busy you really need the larger 
busses. It would probably be very efficient for the operator at 
night, midnight shift, other shifts to put on the smaller busses and 
so forth and possibly save on the driver expenses and save on fuel 
and the operation but it's up to him, he still would be required to 
have a certain number to handle the peak volumes during the day when 
the busses do fill up. 

Commissioner Kadish: In other words he would be required to have 12 
of the larger busses, any mini busses would be in addition. 

Sheldon Fein: He could operate a fleet of 30 or 40 busses; we're not 
requiring him to; and he could branch out to various areas in the 
City. 

Mr. Turpen: The question, as Commissioner Kadish was saying, he must 
have 12 large busses. 

Sheldon Fein: That's correct. 

Mr. Turpen: And any mini busses would be in addition to those. 



Minutes, November 20, 1984, Page 10 



Sheldon Fein: Yes. This is the minimums for the level of service 
for the contract. Ke can put on any additional service that he 
desires or as the market conditions change he can add different 
service and so forth. 

Commissioner Kadish: So that leaves only unanswered my second 
question and that is how much time would be involved in putting on 
new busses to adjust to a particular change in the situation? 

Sheldon Fein: If you're talking about ordering busses, right now 
there's probably a waiting time of 8 months or so if you placed an 
order. 

Commission Kadish: Then how, if we have a minimum of 12 and more 
were necessary would we, in that interim period of 8 months, be able 
to provide the first class service that you designate? 

Sheldon Fein: As the market is changing, he would look at that and 
again place his orders. As an interim means, most of the bidders 
are going to be existing bus operators and would have other busses in 
their fleet and so forth so during an interim period when they had 
busses on order we would probably have to accept a different vehicle, 
or some other vehicle that may not be brand new as he was going, as 
long as he started out with the 12 and maintained as he enlarged his 
fleet gradually brought it up to the new standards. 

Commissioner Goosby: Sheldon, do you think there is any objection or 
do you have any objection, do you think there's much resistance by 
the operators if you set at say, instead of 12, say you set it at 13 
or 14 so that you kind of take into account the possibility of 
repair, breakdown and so forth so that you can still maintain that 
level of service that you want assumming that there is going to be 
some kind of breakdown. Right now I'm assumming that you haven't 
built that into your. ..maybe you've already built that into your 
twelve. 

Sheldon Fein: We've built that in but there are several operators 
here that you may want to ask the question because at the 
pre-contract conference some of them suggested more busses, others 
suggested less busses. So it's really gone in both directions. 

Mr. Turpen: At this point Dr. Goosby out of the 12 busses staff is 
maintaining that headways can be met with 10 of the 12 operating. 
You get down to nine of the 12 you're really talking 25 percent of 
the fleet down for maintenance at any one time which would cause us 
some concern at the Airport. 

Mr. Leonoudakis: Mr. Chairman, being one of the operators, will we 
have the opportunity. ..I just want to give you some information. 

Commissioner Coblentz: Steve, silence is sometimes golden. 

Mr. Leonoudakis: I'll take your advice counselor. 

Commissioner Coblentz: Go ahead. 

Commissioner Fleishell: I have some comments to make about the 
Agreement and I'd like to apologize to the Commission. Normally a 
document of this size I read it in a weekend calling staff on Monday 
and make my comments privately. Unfortunately I've been out of the 
City and because of the importance of this document I spent the hours 
yesterday and this morning, three more hours, going over it and I 



Minutes, November 20, 1984, Page 11 



must say it falls short of what I call a carefully prepared 
document. If someone will follow the copy, there will be some 
questions and some just basic comments. 

On page 3 of the document: Extent of Demised Premises, the 2nd 
paragraph says that the operator will be given the option to design a 
counter, etc. etc. And yet on Page 6, Paragraph 4.02b5, it says the 
operator shall operate at least one booth. Is he given an option, is 
it mandatory? Someone should clear that up because it's not clear to 
us. I'm not sure it's going to be clear to the bidder. 

Page 4, under 4.01: Uses Permitted, Second Paragraph: It says that 
operator further understands that it is restricted under this 
Agreement to the operation of a motor coach service. Then the next 
sentence says Operator shall not engage in any other business without 
the prior written approval of the Director. I don't think anyone on 
this Commission is going to vote for an Agreement that allows the 
Director to enable a bidder to engage in another form of business. 
That is not what we' re talking about. 

Mr. Turpen: Sorry Commissioner, what page are we on? 

Commissioner Fleishell: Page 4, the 3rd full paragraph. In other 
words they cannot engage in any other business unless the Director 
consents. Unless there's a different agenda on the part of the staff 
than I'm aware of, he has absolutely no right to engage in any other 
business than that prescribed in the bid. Let's move on. 

Commissioner Coblentz: Wait a minute. Supposing I have a bus 
service. Am I then not authorized to bid say for a candy store which 
is separate and apart from that? 

Commissioner Fleishell: That is not what the document says. It says 
that he can engage without bid with the consent of the Director and 
that's the whole point. There's no question he can bid on any 
business he wants, but the language is at best confusing. At least 
to me. 

Commissioner Coblentz: It seems to me on this we should not freeze 
that operator from doing anything on the Airport. Whatever he wants 
to bid on he should be able to bid. 

Commissioner Fleishell: We agree. No one's arguing that. 

Commissioner Kadish: It' s just a question of verbiage. 

Commissioner Fleishell: If the document wants to be amended to say 
nothing in this document shall preclude the operator from bidding on 
other diverse businesses. No problem. But the document says he can 
engage only at the consent of the Director. 

The last paragraph on Page 5: by implication "the Director, within 
90 days after... award shall make an objective review of the proposed 
San Francisco fixed stop..." If that language is intended to give 
the Director the right of refusal of acceptance, in other words the 
right of veto of the so called terminal, it ought to say that. By 
implication it says that, but it ought to directly say that the 
Director may refuse to accept such a terminal or facility, as the 
case may be. It does it by implication but it should be expressed. 



Minutes, November 20, 1984, Page 12 



Page 6: talking again about this whole idea which Mrs. Kadish 
brought up, it says "first class service". First class service is a 
goal it is not a legal definition and in order to get that goal 
achieved you have to spell out in some meticulous detail what you 
think first class service is. You're talking about the fixed stop 
location shall have: A. public toilets, B. telephones, C. 24 hour 
service. I raise the question, should it be manned, should it have 
any requirement to be cleaned once in a while, should it be 
illuminated, should it be heated, and if you intend any of those 
things you must require; should it be near a cab facility so people 
dumped there aren't left standing there without the remote 
possibility of getting to their hotel. Again, if you're talking 
first class you've got to spell it out. That has been my experience. 

Paragraph 4, Page 6: The same comment applies. You're talking about 
the 10- minute unloading of all the South, International and North 
Terminals combined. I honestly don't know what that means and if 
you're talking about first class service you don't mention baggage 
handlers, you don't mention dispatchers, the only legal requirement 
in this contract is that the bus have a driver. If you've got one 
person by law required to do all these things, he's trying to make 
change, stuff the baggage in, collect tickets and do whatever they 
do, it's kind of hard. I wonder why we're diminishing the service we 
presently have and still talk about giving first class service. All 
I'm saying is that the language there is not clear to me. I'm not 
sure what it means. 

The bus reference on page 7: Again, if we're talking first class 
service should not there be a requirement that the bus have heat, air 
conditioning, I don't know about radios for safety. We talked about 
that for cabs but neverdid anything about it. That's something that 
ought to be considered if you' re talking first class service. Then 
if you agree that those things should exist there is no requirement 
in here that the bus is ever going to be inspected. 

Commissioner Coblentz: It says heating and air conditioning should 
be available. 

Commissioner Fleishell: Is it a requirement? That's all I'm 
asking. On inspections I think that the PUC now has some mandatory 
safety inspections, but it doesn't cover things such as cleanliness 
and what we would call first class amenities and if we are going to 
have an inspection we should spell out in here how we will do that 
and with what frequency. Again, it depends on what you're trying to 
do. PUC also is getting out of this business and we should provide 
that when they do get out of it what do we do about inspecting, 
safety, etc. Again, that's future but we're talking about a 5 year 
agreement. 

The last 4 sentences on the same page talks about the discount for 
employees of the Airport" . ..will travel on operator's vehicles at 
rates comparable to or lower than rates..." If "comparable" is meant 
to mean "equal to" it should say it. I don't know how you can have a 
comparable rate or a lower rate. It should say "equal to" or 
"lower". Again the same sentence says, "operator charged by other 
transit operators serving similar destination of operator". You've 
got a requirement that he have a fixed base which I assume will be 
his base. I don't know how you can have similar destination when you 
have no terminals downtown that I know of. Again, it should be 
spelled out. 



Minutes, November 20, 1984, Page 13 



Page 8: We require that the winning applicant provide us with copies 
of any applications filed with the PUC. Again, if we're talking 
about first class service it's not just applications we should be 
interested in, its complaints and any correspondence dealing with 
this particular route. Any requests made by the public or any agency 
dealing with this particular route. 

Page 9, Subparagraph M: I think it's important to spell out a little 
more carefully that the operator, though given a non-exclusive right 
to use a particular bay, cannot permit others to use the bay for 
other purposes. It is implied and it ought to be expressed. You're 
saying that he can't divert business. He could say this is not a 
diversion and you end ip with an argument. Because if he's going to 
have the right to that he may well, if he has allied companies 
involved with his firm, want to give them an edge over other 
noncontractual firms at the Airport. 

In 4.03: You give a request that the winning operator provide you 
with the identity of the member that speaks for him at the Airport 
and say that "he shall retain within the Airport premises" .. .1 would 
think if I wanted someone there I'd like to have a specific location 
or a phone where I could reach him as the Airport's a large place and 
you could never enforce it unless you have something a little more 
detailed. 

On the investigative reports, with the permission of the Director, he 
shall hire an investigative firm to check out what he's doing and 
then, he, the operator will give the Airport a copy. I suggest that 
there should be an arrangement where the investigator gives the 
Airport the copy because if you've had any experience with 
investigations if I got a copy of a report which was critical of me I 
call the investigator, whom I hired, that I will be paying, and tell 
him to either straighten out the report or you' re never going to get 
hired again. 

Page 10, 4.06 the first paragraph: We are permitted to enter into 
his property to make ordinary repairs to City property. It seems to 
me that careful drafting should also exempt the City from damages as 
a result of these minor perhaps major interruptions. Again, that's 
something to consider in drafting. 

Paragraph 4.08 on the same page: "Operator shall not do or cause or 
permit anything to be done..." Well suppose he stands there and a 
guy is selling dope next door he hasn't done it, he hasn't caused it, 
he hasn't permitted it. The language usually used is "or suffer to 
be done" as you use later in the same paragraph. I wonder why 
there's a difference in treatment in the middle of the paragraph than 
at the front. 

The bottom comment is they shan't "...do or permit to be done 
anything in any way tending to injure the reputation or appearance of 
the terminal building complex". I didn't know the terminal building 
had a reputation. 

Just grammatically on 11. ."transferers" is really "transferors", 
spelled with an "o" . Several places in that paragraph. 

Also on that subject the Commission suggested this language some 
years ago, and that has to do with the transfer of majority or a 
substantial interest, above 10 percent of the ownership of shares of 
stock of any bidding, winning operator. You provide that exemptive 
is any transfer to the immediate family by gift, bequest or intestate 



Minutes, November 20, 1984, Page 14 



succession. What about a sale? Suppose the man wants to sell it to 
his brother? Why should a sale not be exempted? He can give it to 
him for nothing, why can't he sell it and he may well want to 
establish a totally different tax basis for any number of reasons. 
Then, if you really are trying to accomplish something here I'm not 
sure you've done it because suppose the winning bidder is Ajax 
Corporation which is owned by B Corporation. B Corporation is owned 
by 18 people. Eighteen people can sell the stock to whomever they 
want. There is no change in the stock ownership of the bidding 
corporation. It always remains B Corporation so what have you really 
accomplished? Someone should be thinking about it. If the guy's 
going to be artful enough to want to get out of this Agreement he' 11 
be artful enough to think of some rudimentary things like that. 

Page 12, the next to the last paragraph: requires the payment of 
fees under the Agreement to go two months backward. I assume that 
was because it was kind of hard to get an accounting sooner than two 
months, yet the last sentence you say, "Payment in each monthly 
instance shall also be accompanied by a statement from the previous 
month showing the operator's gross revenues." 

Well, if you feel you have the capability of getting an accurate 
statement of the previous month' s gross revenues why not collect the 
month? Why have someone always two months behind? Why not just one 
month? Maybe I'm missing something. 

Page 13, the second paragraph: "No later than 90 days the operator 
shall furnish an unqualified report certified by either a CPA or a 
public accountant of the gross revenues." Notice that's either a CPA 
or a public account. Yet in the next paragraph when he's going to 
give you a copy of the appropriate sheets of his federal and state 
income taxes, you require it to be certified by a certified public 
accountant. That's kind of strange. On the one hand you're getting 
his report of the cash he's collected and you're willing to have it 
certified by a public accountant, but yet when you're getting a copy 
of the document he's filed with the federal government, it must be 
certified by a CPA. It just seems to me that if the public 
accountant's word since he can not certify anymore than I can 
certify, is good enough for the one paragraph he ought to be good 
enough for the other. 

Page 16, the last sentence in 8.01: "City may also agree to make the 
rqpairs...." This is when at the end of the tenancy the operator is 
removing fixtures that would cause permanent damage to the leasehold 
interest, the City may also agree to make repairs on condition that 
the operator reimburse City. Well, of course the City can always 
agree to do anything. You might consider putting in there "the 
unilateral right of the City to make the repairs that are necessary 
and charge the faulting tenant". Because obviously if he's the kind 
of fellow that is not going to make these repairs unless we ask him 
to certainly he's not going to agree with the City to have the City 
do the work and then pay them, so we should have the unilateral right 
without agreement to make those repairs. 

Page 17, 8.04: Signs and Advertising. "Operator shall not display 

any advertising, promotional or informational pamphlets, within 

the terminal building complex without the express written consent of 
Director." Now, the way it is presently written, if I am the 
operator I come to the Director with one pamphlet and I say I would 
like to display my advertising literature. You write the letter 
saying you have my consent. Then, from thereafter I can bring in any 
other brochures I wish. If you want approval on each specific 
brochure you should spell that out. The present language does not 
accomplish that. 



Minutes, November 20, 1984, Page 15 



10.05 on page 21: This is Abatement of Rent-Operators Remedies: "If 
the Airport premises are partially destroyed. . .the rent payable for 
the period during such damage and repair continues shall be abated in 
proportion to the extent to which operator's use of the demised 
premises is inpaired." I'm not sure that's been well thought out. 
This is standard boiler plate language. When you're putting a shop 
in a building and the building is damaged and you cannot utilize the 
shop. To the contrary, here you're charging on the basis of the 
number of people who land at the Airport. Let's use an exanple. The 
Central Terminal is closed down because of asbestos in the ceiling, 
all right. We still have the identical number of people landing at 
the Airport. The payment due to us is still constant in the absence 
of this paragraph and those people are still coming in and will be 
carried downtown even though he has been deprived of one-third of the 
use of the premises it has no relation, or certainly a very remote 
relationship to the diminution of income by him. Somebody ought to 
be looking at that because the way it's written he could still be 
taking the same number of people downtown and be able to demand a 
one-third abatement of rent. 

Page 22, Paragraph e: The usual language is the default if you file 
bankruptcy. Well, you keep putting that language in and you know 
full well you can't cancel them out but I guess there's not much we 
can do about it. 

Page 23: Talking about interest. One of the remedies by the City 
would be to collect rent as it becomes due together with interest 
thereon at the rate of up to 18 percent per annum. What is the 
agreement with someone who signs this? How can you agree to collect 
up to 18 percent? Who decides what? If you mean 18 percent you 
should say. . ."collect rent with interest at the rate of 18 percent." 
Now if you're talking about the 1-1/2 percent per month which the 
Commission has already adopted that's not 18 percent, that's 19.57 
percent per annum. 

The same comments apply to paragraph 11.03a on the same page. Up to 
18 percent. I don't know how you put that into a legal document. 

Page 24, a paragraph that I don't understand at all. "The worth at 
the time of award of the amount referred to in subsection C is 
computed by discounting such amount at the discount rate of the 
Federal Reserve Bank of San Francisco at the time of the award plus 
one percent." Can someone give me an example. If we have someone 
who wins this and it's $400,000 a year and they have 3 years to go 
and we sue them and win. How do you calculate the award under this? 
Who invented this? Simple example: three years to go, $400,000. 
He's never made over the minimum. How do you calculate what he owes 
us? Mr. Turpen who invented this? 

Mr. Turpen: I'm not sure where the language came from. 

Commissioner Fleishell: Ms. Gittens do you know? 

Angela Gittens, Deputy Director for Budget & Finance: No, I don't 
know. 

Commissioner Fleishell: Well, if by this language it is intended to 
mean the present value, by that is meant the right to collect today 
that which you normally are not entitled to collect in the future. 
There's certainly better language than this to do it. I'm not sure 
what it means very frankly and apparently the staff is not sure. We 
have to look at that one more carefully. 



Minutes, November 20, 1984, Page 16 



Paragraph 12 on page 24: "if the City's operation of Airport or 
operator's operation..." in other words, if the City's operation of 
the Airport or the bus operators operations at the Airport should be 
substantially restricted", Do you realize what that's saying? I'm 
not sure you meant to say that because I can think of our operations 
being restricted which would have absolutely no impact upon the 
tenant. The impact should be on the tenant, not on the City. The 
City could have all kinds of impacts that have absolutely no effect 
on the tenant and we should not therefore abate a just proportion of 
the facilities and so forth. 

The last sentence in the same paragraph 12 says "...may suspend the 
Agreement in entirety by giving the operator written notice, if 
possible". Again, I don't know what that means because page 27, 
14.09 provides for written notice under the terms of this agreement 
to the operator at the Airport, his designated agent, and to his 
location downtown. So how can it be impossible to give him notice? 

One final comment. This Commission proposed over a year ago an 
amendment to the Administrative Code dealing with the documents and 
bid finances. You recall the law then in the Administrative Code 
provided only for a cashier's check and we had suggested a letter of 
credit. Did that ordinance pass? 

Don Garibaldi, Airports General Counsel: Yes. 

Commissioner Fleishell: Good. Well the Commission, certainly this 
Commissioner never heard it pass. The last I heard the Finance 
Committee, Mr. Molinari, was offended by some such. In any event, 
the language contained in the bid is not the language intended by the 
Commission and it is suggested that ordinance be amended. It says 
cashier's check or irrevocable letter of credit. With an irrevocable 
letter of credit you are worse off than with a cashier' s check unless 
you add the word "unconditional" or, as they say in the banking 
business, a "clean letter of credit." That should be in there. 
That's a terrible omission. It must be a clean letter of credit with 
one sentence on it that says "upon the demand of the Director of 
Airports or, in his absence, the President of the Commission, the 
paying bank shall pay." So there is no defense, no qualification in 
any way. 

I guess my last comment was made earlier by someone on the letter 
signed by Ms. Caramatti that the bidder shall send an irrevocable 
letter of credit. Again, the same should be unconditional 
irrevocable letter of credit in the amount of $200,000 drawn on a 
solvent bank. Who on our staff can determine whether a bank is 
solvent? What it should say is it should be drawn on a bank insured 
by either the FDIC or the Federal Home Loan and so forth because you 
can't determine the solvency that I know of. 

Those are my comments. Forgive me for being so lengthy. 

Commissioner Bernstein: At this time perhaps we ought to hear from 
some of the people who are here who want to talk on the Agreement. 
Mr. Roger Murphy. 

Mr. Roger Murphy, Trailways Bus Lines: Good afternoon 
Commissioners. My name is Roger Murphy. I represent Trailways Bus 
Lines. I just had a couple of brief questions. One of the 
Commissioners related briefly to it. Contained in the sample bid 
document that I received was a mention of non-exclusive service. It 



Minutes, November 20, 1984, Page 17 



was ray understanding that the present provider enjoyed exclusive 
service from downtown San Francisco and would be the only provider 
that could sell that service. Is that what' s intended, or not, by 
the language in the bid document? If it's exclusive service and 
would be the sole responsibility of the provider then I think the bid 
document should say that. Or, if it means, on the other hand, that 
other companies may provide service to the Airport from other 
locations other than downtown San Francisco, then I think the bid 
document should reflect that. I was wondering if the Commission had 
reviewed that language and could answer the question now or if maybe 
we could get an answer at another later date. 

Commissioner Fleishell: I think you're entitled to an answer now. 

Mr. Turpen: It is not, and I'll defer to Mr. Garibaldi, but it is 
not intended to be exclusive to downtown San Francisco. There are a 
number of parties presently under the deregulation policy of the PUC 
that operate from downtown San Francisco to the Airport and dropped 
off at the Airport. That's why in our bid specifications one of the 
things we focused on was arriving passengers as opposed to total 
passengers at the Airport. It is not exclusive on departure from the 
Airport it is only preferential on departure from the Airport. We 
can not guarantee exclusivity of the route between the Airport and 
San Francisco. At present there are operators who can pick up on a 
pre-arranged basis at San Francisco Airport and do so and deliver 
people to the City. 

Commissioner Gcosby: I thought the legal question on that was 
straightened out. 

Commissioner Coblentz: But as a practical matter (interrupted)... 
that bidder will have certain places at the Airport which others do 
not have. 

Mr. Murphy: Likewise then allow me to ask this question if I may. 
Are you not then diminishing the value of the bid document itself. 
The value to the carriers. .. .Let me ask you this question and then 
maybe that would point out what I'm getting at. Does that mean then 
today Trailways or any other provider of service could go to the 
Airport or come to you as the Commission and apply to sell 
transportation from downtown San Francisco to the Airport? Is that 
what that means? 

Commissioner Fleishell: They don't need our permission. They need 
only our permission to pickup without prior appointment from the 
Airport to deliver them elsewhere. 

Mr. Garibaldi: That's correct. 

Mr. Turpen: There's no control by the Airports Commission over 
traffic originating in San Francisco coming to San Francisco 
International Airport to drop off. 

Mr. Murphy: And from the Airport to downtown San Francisco? 

Mr. Turpen: There is a restriction in the sense that the Airports 
Commission on non-prearranged traffic the Airports Commissions has 
defined certain areas on the lower level adjacent to the buildings 
for pick up of passengers. Those areas are termed in the agreement 
"preferential" areas. However, this is not a prohibition on 
companies coming to the Airport on a prearranged basis and picking up 
passengers from the Airport. 



Minutes, November 20, 1984, Page 18 



Commissioner Goosby: They can't solicit. 

Mr. Turpen: They can not solicit and they also do not operate from 
these zones. 

Mr. Murphy: One of the other questions in reviewing the bid 
document. Has there been any determination from the time the bid is 
awarded until the time that the service would actually commence by 
the provider to give sufficient lead time for the providing of the 
type of equipment that you would require on that service? If there 
is such a time in the document I don't actually see it. 

Mr. Turpen: Page 2, I believe, states the commencement of terms. 

Commissioner Kadish: 120 days after approval. 

Mr. Turpen: 120 days for a period of 5 years. 

Mr. Murphy: I think one of the Commissioners had already mentioned 
or you had mentioned that the lead time on ordering equipment in 
today's atmosphere I think was around 8 months. 

Commissioner Kadish: Well, that was if there was a necessity for 
adding busses. 1 think that's what Sheldon mentioned. Should there 
have to be more busses added it would take approximately 8 months. 
Is that correct? To order them. 

Sheldon Fein: We ordered our shuttle busses and at that point it was 
approximately 8 months from the time the order was put in until the 
busses were delivered so I was going by that. 

Mr. Murphy: I then have only one other last question and that is has 
a date definite been set at this time when the bid will actually be 
put out and closed? 

Commissioner Coblentz: No. 

Mr. Turpen: No. I didn't hear the question. At this point the 
question before the Airports Commission today is whether or not to 
authorize bidding of this Agreement. If the Commission elects to bid 
this Agreement then we will go forward with the documentation. No 
date has yet been set 

Mr. Murphy: Thank you very much. 

Commissioner Bernstein: Mr. Cassell, Grovesnor Bus Lines. 

Good afternoon. I'm Bob Cassell appearing on behalf of one of the 
prospective bidders for this contract. Our concern is with the last 
section of 4.02, Operational Uses, which is n, appearing on page 9. 
The question we have is with respect to the term "...generally 
prevailing rate of salaries, wages and employee benefits for similar 
work..." It is my understanding that the question of what that " 
determination is or whether it's been made has already been directed 
to the Commission and at least my client is not aware of what the 
answer to that question is. We reviewed the ordinance and of course 
the ordinance provides for the Civil Service Commission to make that 
kind of determination. It would be almost incumbent upon the 
Commission to give us more guidance on that prevailing wage issue so 
that we can be bidding apples against apples and not against oranges 
and bananas. 



Minutes, November 20, 1984, Page 19 



Commissioner Fleishell: Have you read the new ordinance? 

Mr. Cassell: I've read 140.84. That's all. 

Commissioner Fleishell: This is a very tough question. I can't 
answer you. 

Commissioner Coblentz: Maybe staff can answer you. I can't. 

Commissioner Kadish: Dennis? 

Dennis Bouey, Deputy Director for Facilities, Operations and 
Maintenance: Commissioners. Not trying to compare apples with 
oranges but this issue often comes up in our construction contracts. 
The Civil Service Commission relies on the survey done by the State 
Industrial Relations Department and they publish annually what the 
prevailing wage rates are for a number of classifications to include 
such things, I believe, as auto mechanics. Now whether or not bus 
drivers are included in that I don't know. But that is the survey 
that the City does rely on. 

Commissioner Fleishell: Dennis while you're there, you're probably 
aware that there are probably 6 or 8 bus companies in this room and I 
dare say not one of them pays the same wages. All of them, many of 
whom all have union contracts. It was a surprise to me when I 
learned that but there is a great disparity in the wages paid the bus 
drivers. 

Dennis Bouey: An example of that would be two different extremes 
Commissioner would be for instance the plumbers' union in San 
Francisco has one wage rate. On the other hand, the stationary 
engineers negotiates individual contracts. You could go to adjoining 
apartment houses or hotels in some instances and find two different 
wage rates. So again it's the State, in this instance, that the City 
relies on to go out and gather that information and determine what 
they believe to be the prevailing wage rate. 

Commissioner Kadish: But isn't there a range, Dennis? 

Mr. Turpen: Commissioner Kadish if there's a union contract it is 
exempted from this legislation so if in fact as has been indicated 
they have, or there are existing contracts with unions for these 
specific activities then they are exempted from the prevailing wage 
legislation. 

Commissioner Coblentz: what about the present operator? Is he under 
a union contract? 

Mr. Turpen: Yes, I believe he is. 

Commissioner Coblentz: Steve, you're under a union contract? 

Mr. Leonoudakis: We are. We have union contracts with the 
mechanics. We have bus drivers, baggage handlers they are all under 
union contracts. 

Commissioner Coblentz: What about the prevailing wage ordinance that 
we have in effect now? That's exempted because he has a union 
contract? 

Mr. Turpen: There are two things Commissioner Coblentz: 1) If 
there's an existing union contract my understanding of the situation 



Minutes, November 20, 1984, Page 20 



is those are exempted from the prevailing wage ordinance. The second 
factor is that the prevailing wage ordinance doesn't take effect, I 
don't believe, unless there is a complaint filed with respect to the 
wages being paid by some group which presently. . .(interrupted) 

Mr. Leonoudakis: I don't understand that; the term exemption. For 
example, we unfortunately, have the highest wage rate for drivers in 
this area. Are we not the prevailing wage? 

Commissioner Goosby: Not according to what they just said. The 
Civil Service Commission uses the State figures and the state figures 
I assume. .( interrupted) 

Mr. Leonoudakis: But when the shuttle bus contract went out to bid 
the union scale was affixed to that call for bid as an exhibit and 
stated that that was the prevailing wage for this service at the 
Airport. That was part of that agreement. Otherwise I'm at a 
distinct disadvantage if that's the case and I'd be discriminated 
against. 

Mr. Cassell : Somehow I lost my place in line. I'm not used to 
getting pushed around like that. I guess our question was, this may 
only be language and maybe it's all been clarified but before I go on 
to that I notice that you ussed the word "generally prevailing rate" 
and the word "generally" doesn't appear in the ordinance. But maybe 
my question has already been answered. But I wanted to follow up on 
Mr. Leonoudakis' question. Are then our clients simply to indicate 
in their bid that they have an existing union agreement with the 
labor organization and that that will comply because that exempts 
them from any further consideration of the range of that rate. 

Commissioner Coblentz: tor. Cassell all you've done is raise 
questions in our mind. We can't answer you and that just shows that 
this bid isn't ready to go out until this is clarified for your own 
protection as well as ours. 

Mr. Cassell: Okay. I guess I've raised the point and I'll sit 
down. Thanks very much. 

Commissioner Coblentz: He makes a good point about the word 
"generally" . Our language should be consonant with the ordinance. 

Commissioner Kadish: Right. Absolutely. 

Commissioner Bernstein: Mr. Bob Werbe, Grosvenor Bus Lines. 

Mr. Werbe: Commissioners. There have been a lot of questions 
raised. There is just a couple of things that I was concerned about 
is the insurance. I don't think $20-million worth of insurance when 
you' re carrying over 40 passengers is adequate. I think at a minimum 
it should be Si-million per passenger or $40-million. The next 
question that I see is at one of the pre-bid conferences we were 
talking about the equipment and we were talking about 40 foot coaches 
with 3 bins and a couch that's made in the United States and I just 
wonder what happened to that request about specifying that the 
coaches be of American manufacture. 

Ms. Gittens: We frankly saw no reason to add that restriction into 
the bid. 

Mr. Werbe: Okay. I'm just looking out for employment. 

Commissioner Coblentz: I'm sorry You were saying that they 

talked about 45 now it's 35. 



Minutes, November 20, 1984, Page 21 



Mr. Werbe: Yes, or 40. Well, new busses that are manufactured in 
America right now are 40 foot coaches. 

Commissioner Coblentz: At least 35, that sort of leaves it open. 

Mr. Werbe: Yeah. Okay. The way the coaches are manufactured today 
if you were to have even a coach that's 5 years old of the quality 
that you expect to get, they have 3 luggage bins and they are 40 foot 
long and they' re made in the United States of America. 

Commissioner Goosby: If you have one do they go back 10 years ago; 
were they still making the 40 foot? 

Mr. Werbe: 1975 I thought. It's getting close. It's getting close. 

Commissioner Coblentz: Are foreign made coaches 40 feet, too? 

Mr. Werbe: Foreign made coaches you can get any kind of a thing you 
want. They' re just all over the place. The other question I had was 
on loading a vehicle in 10 minutes at all 3 locations. The idea is 
fine and there's no problem doing it providing there isn't traffic 
congestion going from one terminal to another terminal. I think 
there should be some language in there allowing for traffic delays. 

Commissioner Fleishell: I don't know what it means. What does it 
mean? 

Commissioner Goosby: Will it mean 10 minutes after they stop? 

Commissioner Kadish: It's hard to know what is meant. 

Commissioner Coblentz: If it's 10 minutes after you stop, traffic 
has nothing to do with it. 

Commissioner Fleishell: That isn't what the language says. 

Commissioner Coblentz: That's not the question I asked. 

Mr. Werbe: Right. What is your question? 

Commissioner Coblentz: If, after you've stopped, is 10 minutes 
sufficient time? 

Mr. Werbe: Yes. Right. The problem is. .( interrupted) 

Commissioner Bernstein: The problem doesn't concern us here. 

Mr. Werbe: That's all I have. 

Commissioner Bernstein: Thank you. Mext. Joe Yee. 

Joe Yee, Greyhound: I have just one simple question. How come 45 
seats, not 43 seats? 

Commissioner Coblentz: Does a 40 foot bus have 43 or 45? 

Mr. Yee: 1 worked for Greyhound Line and our busses are 43 
passengers and that poses the question how come 45, not 43? You 
could take out the bathroom and put two more seats in but that drops 
your first class. 



Minutes, November 20, 1984, Page 22 



Mr. Fein: The standard 40-foot bus has 45 seats. I don't think at 
this time we' talked about having actually having bathrooms in the 
bus and that may be the difference in language and Greyhound has the 
bathrooms in the busses themselves and that's where the difference is. 

Commissioner Fleishell: That's what he just said. 

Commissioner Coblentz: But that militates against Greyhound 
bidding. Is it necessary to have 43? 

Mr. Turpen: I think the correlation was drawn between size and the 
typical number of seats and that's how it was installed. I don't 
think there was any prohibition or any requirement that exempts the 
45 versus the 43. 

Commissioner Kadish: So make it within the range of 43 to 45, or 
even 40 to 45. 

Mr. Turpen: It's not a point which I think there's any great 
analysis. 

Commissioner Coblentz: No but the argument could be made that we are 
discriminating. 

Mr. Turpen: I understand and as I said this is a point we will waive. 

Mr. Yee: Okay. Thank you. 

Commissioner Goosby: And 40 to 45 would expand the number of people 
who could be interested. 

Commissioner Bernstein: Mr. Leonoudakis: 

Mr. Leonoudakis: Thank you, Mr. Chairman. I want to address page 5 
of the contract though I believe I'm still entitled to some equity in 
conjunction with the terminal which we built at the request of the 
Airport and the Mayor, but I'll talk about that on another day. But 
if you' 11 look at page 5 it advises you that the operator must come 
forth with a fixed stop in San Francisco and then it says in the 
introduction it says downtown San Francisco then it goes on to 
describe downtown San Francisco with the following parameters and 
I've never heard this description for downtown San Francisco: 
Franklin Street on the West. The Embarcadero on the East and North 
and Harrison Street to the South. We have 16,000 hotel rooms within 
walking distance of Taylor and Ellis. That's where the current 
terminal is and I think that the definition should be certainly more 
succinct. But this definition even suffers as we go further in that 
it has no place at the terminal for taxicabs coming onto the site 
dropping off passengers. It says it will be a thousand foot location 
with rest rooms. That could be the lobby of any hotel it could be a 
storefront and anything else but when you come to a terminal facility 
you want cabs to have a drop off you want them to be able to come to 
a place and pick up people so you need ingress/egress for the cabs. 
In addition to that the site ought to be where the industry is and 
where the tourist wants to go. This is not a definition of downtown 
San Francisco. For example, if I had or if I were a bidder and I had 
a piece of property on Harrison Street would you want me to bring the 
Airport fares first to Harrison Street and drop them off? I'd meet 
this definition. What happens to the fare then? Then he has to take 
another mode of transit from that place to downtown San Francisco 
where we really are. But more importantly the definition of 
terminal, a thousand square feet, is absolutely ridiculous. You need 



Minutes, November 20, 1984, Page 23 



space for 8 busses. Drivers have to come, park their bus, take their 
break. You have to have three busses coming in, going out. You need 
space for hundreds of pieces of luggage. You can't do that in a 
thousand square feet. People are going to be crawling all over each 
other. Not only that, but when it rains there's no room in a 
thousand square feet. They have no shelter at all. We'd be back to 
where we were. So this whole area in the treatment of terminal is 
out of context with reality. 

I wanted to introduce the man who knows more about running the 
Airport bus service than anybody in this room and anybody in Northern 
California because he' s run this service for 20 years for Barrett and 
he followed with Airport Transit and I address this to Commissioner 
Kadish because you' re the one who asked the most propitious 
question: what is first class service? And Gordon Esposto runs this 
system for us and I'd like to, Gordon would you step up. He is the 
General Manager of the Airporter operation and he's been doing this 
work for Barrett, for ourselves, and the others for 20 years and I'd 
like to have him describe what is really, what is entailed in a first 
class bus service. 

Mr. Esposto: Good afternoon. Nice to see you all. The first 
comment I would like to make is that last Thursday Airporter departed 
your Airport with 169 trips. Under this document you require the 
operator to depart 72 times, way less than half. We transported over 
4,000 people that day in 40-foot state of the art busses. When I 
went to work for Barrett your Airport handled less than 8 million 
people. Every year we've improved, we think, the service, added 
newer equipment having capabilities of handling this traffic. 25 
million in 1984. Barrett sold the bus company to Yellow Cab in 1966 
ard managed to go bankrupt in 1976 at which time the Leonoudakis 
family bought the bus company ard improved it. In the last year and 
a half we bought 11 brand new busses. 

Commissioner Coblentz: Excuse me. I realize what you have to say 
and that'll be a time and a place for tooting anyone's horn, but 
would you give us the suggestions that you make. Steve made some 
very good suggestions on the 1,000 square feet. You've made some 
suggestions on the time sequence here. Could you tell us some more. 

Mr. Esposto: Yes sir. Personnel. Airporter employs 158 union 
people. We have baggage handlers. We have cashiers. It's 
impossible to unload a bus in 10 minutes at your Airport without 
support help. It's like an airplane. Does the pilot unload the 
airplane? Does the pilot collect the fares? We pioneered this, San 
Francisco hotels to and from the Airport in the last 3 years. We've 
given people four choices of destinations. It's been very 
successful. I've been to perhaps 100 PUC hearings on deregulation 
recently and one of them finally the decisions came out and said that 
it's time for bus companies to stop coming to the courts for help, 
it's time for them to go to the marketplace, and that's what 
deregulation means in my opinion. It's to go out and get the people 
and take them where they want to go. There's nowhere in this 
document that 12 busses, 35-foot, ten year old busses, S20-million 
worth of insurance, no baggage handlers. 

Commissioner Coblentz: How much insurance do you think there should 
be? 

Mr. Esposto: I agree with Mr. Werbe. At least $40 to $50-million. 
We carried recently American College of Surgeons. I'd hate to think 
the liability of an accident there. 



Minutes, November 20, 1984, Page 24 



Commissioner Coblentz: What about the size of the bus? 

Mr. Esposto: 40-foot. The state of the art. 

Commissioner Coblentz: What do you think about the size of the bus 
being 35 to 40 feet, rather than the straight 40 feet? 

Mr. Esposto: A 40-foot bus without a rest room will accommodate 53 
passengers comfortably and we' 11 have 3 bins under the bus. 

Commissioner Coblentz: The idea, we put in here 2 bins, we put in 40 
passengers. Is there anything wrong with putting in 3 bins and 35 to 
40 passengers? 

Mr. Esposto: No sir. At least. Our schedules call for 15 minute 
headway, that's four departures an hour. At 50 passengers even 
that's 200 passengers. There's some hours where we transport 700 or 
800 people. We have no reservations in this bus system. We don't 
know when a wide-body airplane comes in if they will all want us or 
if none of them want us. We have capabilities with radios in our 
busses now to call what we call standby busses out of the back of the 
Airport that come in and fill in. Under your theory what happens if 
at the South Terminal the bus fills? Does that mean. ...( interrupted) 

Commissioner Coblentz: What you're saying is that 12 busses is 
inadequate. 

Mr. Esposto: Very inadequate. 

Commissioner Coblentz: What do you think the minimum should be? 

Mr. Eqposto: 25. 

Commissioner Fleishell: What about the radio capability? Is that 
necessary? 

Mr. Esposto: Yes sir. It's necessary because number one, we have a 
fulltime dispatcher on duty at the Airport at all times and 
Airporter, if the Director will agree with me, is the so called 
emergency bus company. Our dispatchers are able to get ahold of 
anyone in our system at a moment's notice and commandeer them, which 
we have done. Also, it brings ip the freeway safety. Our drivers 
are constantly on the air with the CHP regarding the freeway 
construction and the like. The Airport shows in its desires a safe, 
reliable, convenient and readily available bus service. Airporter 
feels it does that just now and it's a first class operation. This 
document is taking away from that first class operation. Our busses 
are inspected by the CHP yearly and we have one of the highest 
ratings in the State of California simply because we have a full 
staff of mechanics; our busses are cleaned after every shift. We put 
36 shifts a day out. 

Commissioner Coblentz: Excuse me for going on. I really wish you'd 
go as to the document. It would be most helpful. 

Mr. Esposto: Yes sir. Shall I address the downtown terminal? 

Commissioner Coblentz: Sure. 

Mr. Esposto: It was wonderful to work off tie street at Taylor and 
O'Farrell Streets in 1979 when the rain was coming down. People ware 
everywhere with umbrellas. 



Minutes, November 20, 1984, Page 25 



Commissioner Coblentz: You contend that 1,000 feet is inadequate. 
Is that right? What's adequate? 

Mr. Esposto: 20,000 feet. 

Commissioner Coblentz: What's the terminal now? 

Mr. Esposto: 23,000 feet. And you have places where a bus can 
unload at the same time a bus is loading and keep the peoples luggage 
away from the elements. 

Commissioner Coblentz: Do you agree with Mr. Leonoudakis that you 
need an area for taxis? 

Mr. Esposto: It's there right now. 

Commissioner Coblentz: No. No. I'm not asking you that. It's not in 
the document. 

Mr. Esposto: No sir, it isn't in the document. Another point is 
that the Leonoudakis family brought the payroll back to the City. 
This company was based. ...( interrupted) 

Commissioner Coblentz: I'm not going to win my battle with you or 
anybody else. 

Commissioner Bernstein: Did you hire him just for today? 

Mr. Leonoudakis: No. He's been around 20 years. 

Commissioner Coblentz: What are the other suggestions you have as to 
the bid document? 

Mr Esposto: Shall I start with number one, sir? Prevailing wage is 
an issue that I have problems with. Here we are with a company 
that's been in existence for 30 years and of course every year during 
the contract period it goes up and up and up. We'd be at a real 
distinct disadvantage bidding against someone off the 
street. . . ( interrupted) 

Commissioner Coblentz: That's something we have to clarify. Because 
I understand that if there's a union contract that's one thing and 
we' ve got to coordinate with the City ordinance. 

Mr. Esposto: The question I have regarding that is we have baggage 
handlers and cashiers that are required by the drivers' contract. We 
consider them as a fringe benefit to the driver. Is that so? Would 
that be included with that? It should include it. 

Commissioner Goosby: I think there has to be some wording worked out. 

Mr. Turpen: As a point of our approach to this thing, the staff was 
not prepared to dictate how a motor coach agreement should be run. 
We're simply trying to talk in terms of the objectives that we wanted 
to achieve. 

Commissioner Coblentz: Subparagraph n is inadequate right now. 
What's your next point? 

Mr. Esposto: I think I brought up enough now, sir. Thank you. 

Commissioner Radish: It seems to me that at this point we have had a 
whole variety of questions and issues that have been raised both at 



Minutes, November 20, 1984, Page 26 



the Commission level and in the audience level and participant level 
and that what we need is to have you go back with this document, 
refine it, and come back to us again with it. 

Commissioner Bernstein: Wait just a minute, there's one more 
speaker, Mr. MacKenzie of the Auto Machinists' Lodge #1305. 

Mr. Leonoudakis: I just wanted to finish with one last comment, Mr. 
Chairman, if I might. This document calls for prequalif ication of 
the bidders. The questionnaire on prequalif ication is far too 
shallow. Example: You can qualify to bid this service if you've 
done £500,000 worth of business in the last three years. This is a 
multi-million dollar service. Point number 2: Never allow the word 
"van" to be in this agreement. Vans do not move people. In the size 
and magnitude that you're looking to give service and I respectfully 
request that any language with reference to vans really ought to come 
out. 

Commissioner Bernstein: Mr. MacKenzie. 

Mr. MacKenzie: Commissioners maybe I can help you on this prevailing 
rate issue since we were the one who pushed for the prevailing rate 
language as it exists and also that we have collective bargaining 
agreements with most of the bus companies that are in San Francisco 
and the majority of them that are here looking to bid on this. We 
also have a collective bargaining or a memorandum understanding with 
the City and County of San Francisco which we go through a salary 
survey which includes the US government, State of California, private 
sector, public sector of the 5 Bay Area counties. Now, to give you a 
run down on the average wages and the different bus companies and 
this is something we generally don't like to put out to publication 
because it makes it a little tougher to negotiate the next time 
around, but EastShore Lines. . . ( interrupted) 

Commissioner Coblentz: May I say this, excuse me, sir. I'm not 
interested in that. All I'm interested in is trying to draft an 
adequate document here. I don't care what anyother people pay. We 
must confine ourselves to whatever the ordinance says. 

Mr. MacKenzie: All right, but what I was going to have to show you 
the prevailing rate to generate the prevailing rate you have to take 
in the area contracts that are here and including the City and County 
contracts which the City and County has with the bus lines. And the 
City and County average wage right now is $19.93 per hour. And 
that's a darn good guideline considering that all mechanics guide 
under that. . . ( interrupted) 

Commissioner Goosby: I understand that the guideline is already 
established by the State. And the State 1 assume takes an average of 
all the union contracts and everything else. ...( interrupted) 

Mr. MacKenzie: The State is used in the survey. This is part of the 
City survey. The set wages. 

Commissioner Goosby: They give the City Civil Service Commission the 
figure which is based upon an average of a great many salaries and 
they say that's pretty close to the prevailing wage. 

Mr. MacKenzie: I know. I get into the salary standardization every 
year for our members to come up with the salary standardization. We 
are the benchmark. That's why I can come up with these figures 
because I know the figures. I work with them every year to get 



Minutes, November 20, 1984, Page 27 



involved in the prevailing rates. Also, to answer the question from 
Greyhound, which we even have a collective bargaining agreement with 
Greyhound, a 43-passenger bus all you have to do slide the seats 
because they' re on tracks, loosen 4 bolts, slide the seats and add 
another set of seats in there and that gives you a 45-passenger bus. 
Unless you want a bus to go across country, then you're going to have 
a 43-passenger bus that a person' s going to travel in for 8 to 10 
hours or 5 days and then you' re going to have a 43-passenger bus. 
I'm just giving some input on some of the things I heard. The 
Commission shouldcons ider that when an airplane ccmes in that holds 
250 people if 100 of those people look for bus transportation at 45 
passengers a bus you have a minimum of 2-1/2 busses right now and if 
you' re saying you want a bus into the Airport every 15 minutes 
Where's your second bus coming from, right now? It's not there, so 
your figures are way off hand. The baggage bin issue. You should 
take a look at coaches. Coaches have been made that are transit-type 
coaches that hold a baggage bin on either side and they used to be 
called a Washington bus that had a baggage bin about the size of a 
seat, the hand cupboard that you could open up and not even put a 
full suitcase into it so you should take a look at what types of 
dimensions you want in baggage bins. There's a lot of things more 
than just say hey, mini-busses. Mini-busses have never carried a 
baggage bin. That means baggage on the side seats or maybe little 
tiny rack up on top. There's no baggage bins on the sides of a 
mini -bus. 

Commissioner Coblentz: Well, there is the back? 

Mr. MacKenzie: One of those little wooden boxes that have been added 
onto? That's not a baggage bin. 

Commissioner Coblentz: What does Hertz and the rest have? 

Mr. MacKenzie: Those are transit-type coaches, not mainline coaches 
which I believe the Commission is seeking for mainline-type operation 
to bring people into town in a first-rate type of transportation not 
second class. 

Commissioner Bernstein: Okay. Thank you very much. Mr. Turpen. 

Commissioner Coblentz: I suggest that this matter be referred back 
to staff. There is a great deal of additional refinement that must 
be made on it. I appreciate everyones attendance here and their 
raising the questions. They've helped us tremendously. 

Commissioner Kadish: I think also, Bill, if I may add this. This 
is a very complex issue and if we had not had this initial document 
as a takeoff point we wouldn't have refined it to the point that we 
have today and that we will have when you come back with a new 
document, so it is not to be accepted as a complete denigration of 
what the staff has done. 

Commissioner Coblentz: Is there anything else? I move that we go 
into closed session. 

Mr. Turpen: Thank you ladies and gentlemen. 



Minutes, November 20, 1984, Page 28 



H. CORRESPONDENCE: 

There was no discussion ty the Commission. 



I. TRAILING CALENDAR: 

There was no discussion of trailing calendar items 



K. ADJOURNMENT TO GO INTO CLOSED SESSION: 

There being no further calendared business before the Commission the 
meeting adjourned at 3:30 P.M. to go into closed session. 



J^an Caramatti 
Commission Secretary 



Minutes, November 20, 1984, Page 29 



SAN FRANCISCO 
AIRPORTS COMMISSION 




DOCUMENTS DEPT. 
FEB 2 5 1985 

SAN FRANCISCO 
piiRt 10 ' IBRAPV 



MINUTES 



SPECIAL MEETING 
DECEMBER 11, 1984 



DIANNE FEINSTEIN, MAYOR 

COMMISSIONERS 

MORRIS BERNSTEIN 

President 

WILLIAM K. COBLENTZ 

Vice-President 

DR. Z.L. GOOSBY 

J. EDWARD FLEISHELL 

ATHENA TSOUGARAKIS 



LOUIS A.TURPEIM 

Director of Airports 



San Francisco International Airport 
San Francisco, California 94128 



Index 

of the Minutes 

Airports Commission 

December 11, 1984 



Calendar 


Agenda 




Section 


Item 


Title 


A. 




CALL TO ORDER: 


B. 




ROLL CALL: 


C. 




ADOPTION OF MINUTES 



Resolution 
Number 



Page 

3 
3 



D. 

E. 



Regular meetings of 
September 4, 1984, 
September 18, 1984, 
November 6, 1984, and 
November 20, 1984 

ANNOUNCEMENT BY SECRETARY: 

DIRECTOR'S REPORTS: 



84-0309 
84-0310 
84-0311 
84-0312 



F. 
G. 



North Terminal Cart Concession, 
Oral Report 

Valet Parking - July to 
October, 1984 

Airline Delays and 
Baggage Handling 

ITEMS INITIATED BY COMMISSIONERS: 

POLICY: 



Amendment of Rules and Regula- 
tions to Prohibit Unauthorized 
Deliveries at the Airport. 



84-0313 



H. 



ITEMS RELATING TO ADMINISTRATION, 
OPERATIONS AND MAINTENANCE: 



1-380 Mitigation Measures, 
San Francisco Garter Snake, 
Study Extension 84-0314 

Airport Improvement Program 

(AIP No. 3A) 84-0315 

Amendment to Professional 

Services Agreement 84-0316 



5-6 



Minutes, Special Meeting, December 11, 1984, Page 1 



Calendar 
Section 



Agenda 
Item 



Title 



Resolution 
Number 



Page 



I. 



J. 
K. 
L. 
M. 



8. Resolution Authorizing the 

Mutual Termination of the 
Qantas Plot 7S Lease 

9. Award of Contract No. 919D 

Reconstruction of Airfield 
Perimeter Dike 

CONSENT CALENDAR OF ROUTINE 
ADMINISTRATIVE MATTERS: 

10. Final Modification and Close- 

Out of Contract 1200B(5) 
Water Display Fountain for 
Boarding Area D - $15,580.18 

11. Modification No. 2 to Con- 

tract 1481, High Voltage 
Distribution in International 
and South Terminals in the 
amount of $12,200. 

12. Contract No. 1494 - Emergency 

Roofing Repairs, Modifica- 
tion No. 2 (Type 2) 
Extension of Time 

13. Declaration of Emergency 

Power Cable 4BB-1 
American Airlines 

14. Statistical Adjustments 

for 1984-85 Joint Use 
Billings Under New Lease 
and Use Agreement 

CORRESPONDENCE: 

TRAILING CALENDAR: 

CLOSED SESSIONS: 

ADJOURNMENT: 



84-0317 



84-0318 



84-0319 



84-0320 



84-0321 



84-0322 



84-0323 



Minutes, Special Meeting, December 11, 1984, Page 2 



Minutes 

of the 

Airports Commission Special Meeting 

December 11, 1984 



CALL TO ORDER: 

The special meeting of the Airports Commission was called to order at 
9:00 A.M. in Room 2C, City Hall, San Francisco, Ca. 



B. ROLL CALL: 



Present : 



Commissioners Morris Bernstein, 
William K. Coblentz, Z. L. Goosby, 
J. Edward Fleishell. 



Absent: 



Ruth S. Kadish. 



C. ADOPTION OF MINUTES: 



No. 84-0309 

No. 84-0310 

No. 84-0311 

No. 84-0312 



Regular meetings of September 4, 1984, 
September 18, 1984, 
November 6, 1984, and 
November 20, 1984 



ANNOUNCEMENT BY SECRETARY: 



In accordance with Section 54957.1 of 
the Brown Act, Jean Caramatti, 
Commission Secretary, announced 
unanimous adoption of Resolution No. 
84-0307 and 84-0308 regarding the 
settlement of litigated claims at the 
Closed Session of November 20, 1984. 



Minutes, Special Meeting, December 11, 1984, Page 3 



E. DIRECTOR'S REPORTS: 

The following item was put over. 

1. North Terminal Cart Concession - Oral Report 

Mr. Lou Turpen, Airport Director, asked that this item be put over as 
he and Commissioner Bernstein have not had the opportunity to review 
the potential locations. 

2. Valet Parking - July to October, 1984. 

Report covering the four-month period 
from July to October, 1984 on Valet 
Parking Service as requested by the 
Commission. 

Mr. Turpen said the report was self-explanatory and said that the 

Commission will receive another report at the second meeting in 

January for the period covering November and December. He said that 

valet continues to break even. 



Airline Delays and Baggage Handling. 

Report regarding airline delays at San 
Francisco International Airport and 
baggage handling/thefts. 

Mr. Turpen explained that the key area of difficulty is baggage 
delivery and that there are complications with simultaneous flight 
arrivals. 

Commissioner Fleishell commented that the 29 delays addressed in the 
memo do not coincide with his experience or his conversations with 
control tower personnel. 

Mr. Turpen called the Commission's attention to the asterisk and said 
that it was 29 delays per 1000. 

Commissioner Fleishell said that at 9:00 A.M. there are usually 12 
planes lined up for takeoff or 11 planes with gate holds. He asked 
what could be done about this. 

Mr. Turpen responded that delays may be air traffic generated but in 
many cases they are station generated. The doors can close at 
9:00 A.M. and claim an on-time departure but the plane might sit at 
the gate while baggage is being loaded. 



F. ITEMS INITIATED BY COMMISSIONERS: 

There were no items initiated by Commissioners, 



Minutes, Special Meeting, December 11, 1984, Page 4 



G. POLICY: 

The following item was unanimously adopted. 

4. Amendment of Rules and Regulations to Prohibit Unauthorized 
Deliveries at the Airport. 

No. 84-0313 



H. ITEMS RELATING TO ADMINISTRATION, OPERATIONS AND MAINTENANCE: 

The following items were unanimously adopted. 

5. 1-380 Mitigation Measures, San Francisco Garter Snake, Study Extension 

No. 84-0314 Resolution permitting an eleven month 

time extension for the study of the 
San Francisco Garter Snake being 
conducted on the West of Bayshore 
property. 

Mr. Turpen recommended approval of the extension to insure that the 
Commission is aware of all the mitigation measures available in the 
event the Commission decides to develop the West of Bayshore area: 
Once the extension is granted and the Airport petitions for an EIR 
they have 9 months to one year to come up with acceptable mitigation 
alternatives. 



6. Airport Improvement Program (AIP No. 3A) 

No. 84-0315 Project application for AIP Fund of 

$225,000 and requesting Board of 
Supervisors to authorize filing of 
project application and to accept the 
resulting grant offer. 

Mr. Turpen congratulated Dennis Bouey, Deputy Director for 
Facilities, Operations and Maintenance, and his staff for making a 
significant effort in clearing up a lot of old projects which 
qualified the Airport for discretionary FAA funding of $225,000. The 
money will basically be spent on two projects: the pavement 
management system and the Master Plan. 

Commissioner Goosby asked the City Attorney to find out what the 
Airport's legal position is regarding the FAA regulations. 



7. Amendment to Professional Services Agreement 

No. 84-0316 Amendment to Professional Services 

Agreement for Soils and Foundation 
Engineering for the South Terminal 
Modernization and Replacement 



Minutes, Special Meeting, December 11, 1984, Page 5 



Projects. Amendment is to agreement 
with PSC Associates providing 
additional funding in the 
not-to-exceed sum of $110,000. 



Resolution Authorizing the Mutual Termination of the Qantas Plot 7S 

Lease 

No. 84-0317 Resolution authorizing the mutual 

termination of the Qantas Plot 7S 
lease and further authorizing the 
subsequent leasing of the premises to 
other tenants. 



9. Award of Contract No. 919D 

Reconstruction of Airfield Perimeter Dike 

No. 84-0318 Resolution awarding Contract 919D to 

McGuire and Hester in the amount of 
$788,500. 

Five bids were received on November 
13, 1984 ranging from $788,500 to 
$1,004,030. 



I. CONSENT CALENDAR OF ROUTINE ADMINISTRATIVE MATTERS: 

The following items were unanimously adopted. 

10. Final Modification and Close-Out of Contract 1200B(5) 

Water Display Fountain for Boarding Area D - $15,580.18. 

No. 84-0319 Final modification to close-out 

contract including adjustments to bid 
items in accordance with City's 
Administrative Code. 



11. Modification No. 2 to Contract 1481 

High Voltage Distribution in International and South Terminals in the 
amount of $12,200.00. 

No. 84-0320 Resolution approving Modification No. 

2 to Contract 1481, High Voltage 
Distribution in International and 
South Terminals in the amount of 
$12,200.00. This modification is for 
the purchase of a 600 volt, 250 amp 
switch gear circuit breaker to provide 
a maintenance spare circuit breaker 
for the High Voltage Distribution 
System for the International and South 
Terminals. 



Minutes, Special Meeting, December 11, 1984, Page 6 



12. Contract No. 1494 - Emergency Roofing Repairs 
Modification No. 2 (Type 2) Extension of Time 



No. 84-0321 Resolution approving a modification of 

contract extending the completion date 
from December 31, 1984 to June 30, 
1985 at no additional cost to the City. 



13. Declaration of Emergency Power Cable 4BB-1 
American Air Lines 

No. 84-0322 Proposed resolution declaring the 

existence of an emergency in the 
failure of Power Cable 4BB-1 serving 
American Airlines; directing the 
Director of Airports to make the 
necessary replacement and requesting 
the Controller to certify funds needed 
to make such repairs. Power Cable - 
$22,000. 



14. Statistical Adjustments for 1984-85 Joint Use Billings Under New 
Lease and Use Agreement. 

No. 84-0323 Resolution adjusting 1984-85 Joint Use 

Billings pursuant to Section 101. W of 
the new Airline Airport Lease and Use 
Agreement for TACA International 
Airlines. 



J. CORRESPONDENCE: 

There was no discussion by the Commission. 



K. TRAILING CALENDAR: 

There was no discussion of trailing calendar items, 



Minutes, Special Meeting, December 11, 1984, Page 7 



M. ADJOURNMENT TO GO INTO CLOSED SESSION: 

There being no further calendared items before the Commission the meeting 
adjourned at 9:11 A.M. to go into closed session. 

Jean Caramatti 
/Commission Secretary 
U 



Minutes, Special Meeting, December 11, 1984, Page 8 



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